MS HB1715

Authorizes municipalities and counties to impose a special sales tax of up to 1% on gross proceeds of sales or business income taxed at 7% or more under Mississippi sales tax law, subject to voter approval by 3/5 majority in a referendum.

Requires municipalities and counties to establish a plan for capital projects (recreational complexes, senior centers, community centers, auditoriums, libraries, streets, water/sewage systems, gas lines, and multipurpose buildings) and submit plans to the Mississippi Development Authority for approval before expenditures can be made.

Authorizes municipalities and counties to incur indebtedness in amounts supportable by the special sales tax proceeds, excluding such debt from standard indebtedness limitations.

Requires the Department of Revenue to collect the tax separately, retain 3% of proceeds for collection costs, and pay remaining amounts to the municipality or county monthly; tax revenue must be placed in a separate fund used only for authorized capital projects.

Mandates automatic discontinuation of the special sales tax upon project completion and debt retirement as determined by the Mississippi Development Authority, or after 10 years unless voter approval for extension is obtained; effective July 1, 2024.