MS HB1956

Authorizes the City of Verona, Mississippi to impose a special sales tax of up to one-fourth of one percent (0.25%) on gross proceeds of sales or business income taxed at 7% or more under Mississippi Sales Tax Law.

Tax requires approval by at least 60% of votes cast in a municipal election, with notice published weekly for three consecutive weeks prior to the vote.

Exempts from the tax: certain state sales tax exemptions, restaurant food and beverages, hotel and motel room rentals, retail food for human consumption, cable and telecommunications services, and prescription drugs and medicines.

Revenue collected must be placed in a separate municipal fund and spent solely on water and sewer infrastructure within city limits, with annual independent audits required.

Department of Revenue retains 3% of collected tax for administrative costs and remits proceeds to the city by the 15th of the following month; tax authority expires July 1, 2030.