Bill Text: MS HB1676 | 2015 | Regular Session | Introduced
Bill Title: City of Corinth; authorize imposition of local sales tax.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2015-04-02 - Died In Committee [HB1676 Detail]
Download: Mississippi-2015-HB1676-Introduced.html
MISSISSIPPI LEGISLATURE
2015 Regular Session
To: Local and Private Legislation
By: Representative Carpenter
House Bill 1676
AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE CITY OF CORINTH, MISSISSIPPI, TO IMPOSE A SPECIAL TAX OF NOT MORE THAN 1% ON THE GROSS PROCEEDS OF ALL SALES OR THE GROSS INCOME OF BUSINESS IN THE MUNICIPALITY DERIVED FROM ACTIVITIES TAXED AT THE RATE OF 7% OR MORE UNDER THE MISSISSIPPI SALES TAX LAW; TO PROVIDE FOR AN ELECTION ON THE QUESTION OF IMPOSING THE SPECIAL SALES TAX; TO AUTHORIZE THE CITY TO INCUR INDEBTEDNESS IN AN AMOUNT NOT GREATER THAN AN AMOUNT WHOSE DEBT SERVICE IS CAPABLE OF BEING FUNDED BY THE PROCEEDS OF THE SPECIAL SALES TAX; TO PROVIDE THAT THE SPECIAL SALES TAX REVENUE COLLECTED PURSUANT TO SUCH TAX SHALL BE USED AND EXPENDED BY THE CITY ONLY TO FUND INFRASTRUCTURE PROJECTS AND ECONOMIC DEVELOPMENT PROJECTS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. The
governing authorities of the City of Corinth, Mississippi, in its discretion,
may impose upon all persons as a privilege for engaging or continuing in
business or doing business within the City of Corinth, Mississippi, a special
sales tax at the rate of not more than one quarter of one percent (0.25%) of
the gross proceeds of sales and gross income of the business, as the case may
be, derived from any of the activities taxed at the rate of seven percent (7%)
or more under the Mississippi Sales Tax Law, Section 27-65-1 et seq.,
Mississippi Code of 1972, as provided in this section. The tax levied by this
section shall apply to every person making sales, delivery or installations of
tangible personal property or service within the city, but shall not apply to
sales exempted by Sections 27-65-19, 27-65-101, 27-65-103, 27-65-105, 27- 65-107,
27-65-109 and 27-65-111 of the Mississippi Sales Tax Law.
SECTION 2. Before the tax authorized by this act may be imposed,
the governing authorities for the City of Corinth shall adopt a resolution
declaring its intention to levy the tax, setting forth the amount of the tax to
be imposed, the purposes for which the revenue collected pursuant to the tax
levy may be used and expended, the date upon which the tax shall become
effective, the date upon which it shall be repealed and calling for an election
to be held on the question. The date of the election shall be set in the
resolution. Notice of the election shall be published once each week for at
least three (3) consecutive weeks in a newspaper published or having a general
circulation in the City of Corinth with the first publication of the notice to
be made not less than twenty-one (21) days before the date fixed in the
resolution for the election and the last publication to be made not more than
seven (7) days before the election. At the election all qualified electors of
the municipality may vote. The ballots used at the election shall have printed
thereon a brief description of the sales tax, the amount of the sales tax levy,
a description of the purposes for which the tax revenue may be used and
expended and the words "FOR THE LOCAL SALES TAX" and "AGAINST
THE LOCAL SALES TAX" and the voters shall vote by placing a cross (X) or
check mark opposite his/her choice on the proposition. When the results of the
election have been canvassed by the election commissioners of the City of
Corinth and certified by them to the governing authorities, it shall be the
duty of such governing authorities to determine and adjudicate whether at least
three-fifths (3/5) of the qualified electors who voted in the election voted in
favor of the tax. If at least three-fifths (3/5) of the qualified electors who
voted in the election voted in favor of the tax, the governing authorities
shall adopt a resolution declaring the levy and collection of the tax provided
in this act and shall set the first day of the second month following the date
of such adoption as the effective date of the tax levy. A certified copy of
this resolution, together with the result of the election shall be furnished to
the Department of Revenue not less thirty (30) days before the effective date
of the levy.
SECTION 3. (1) The
special sales tax authorized by this act shall be collected by the Department
of Revenue, shall be accounted for separately from the amount of sales tax
collected for the state in the city and shall be paid to the city. Payments to
the City of Corinth are to be made by the Department of Revenue on or before
the fifteenth day of the month following the month in which the tax was
collected.
(2) The proceeds of the special sales tax shall be placed into a separate
fund apart from the city general fund and any other funds of the city, and
shall be expended by the city solely to fund infrastructure projects, economic
development projects and for related purposes and/or for the purpose of paying
any indebtedness or other obligation that the city may incur in connection with
such projects including, but not limited to, issuance and retirement of bonds,
specified in the resolution ordering the election.
(3) All provisions of the
Mississippi Sales Tax Law applicable to filing of returns, discounts to the
taxpayer, remittances to the Department of Revenue, enforced collection, rights
of taxpayers, recovery of improper taxes, refunds of overpaid taxes and other
provisions of law providing for impositions and collection of the state sales
tax shall apply to the special sales tax authorized by this act, except where
there is a conflict, in which case the provisions of this act shall control.
Any damages, penalties or interest collected for the nonpayment of taxes
imposed under this act, or for noncompliance with the provisions of this act,
shall be paid to the city on the same basis and in the same manner as the tax
proceeds. Any overpayment of tax for any reason that has been disbursed to the
city or any payment of the tax to the city in error may be adjusted by the Department
of Revenue on any subsequent payment to the city pursuant to the provisions of
the Mississippi Sales Tax Law. The Department of Revenue, from time to time,
may make such rules and regulations not inconsistent with this act as may be
deemed necessary to carry out its provisions, and such rules and regulations
shall have the full force and effect of law.
SECTION 4. The governing authorities of the City of Corinth,
Mississippi, may incur indebtedness of the city in an aggregate principal
amount that is not in excess of an amount for which debt service is capable of
being funded by the proceeds of the special sales tax levied pursuant to this
act. The indebtedness authorized by this section shall not be considered when
computing any limitation of indebtedness of the city established by law.
SECTION 5. Accounting for receipts and expenditures of the funds
described in this act shall be made separately from the accounting of receipts
and expenditures of the general fund and any other funds of the city. The
records reflecting the receipts and expenditures of the funds prescribed in
this act shall be audited annually by an independent certified public
accountant, and the accountant shall make a written report of his audit to the
governing authorities of the city. The audit shall be made and completed as
soon as practicable after the close of the fiscal year, and expenses of the
audit shall be paid from the funds derived pursuant to this act.
SECTION 6. This act shall take effect and be in force from and
after its passage.
