Bill Text: MS HB1788 | 2023 | Regular Session | Enrolled
Bill Title: City of Columbia; extend repeal date on hotel/motel and restaurant tourism tax.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2023-03-22 - Approved by Governor [HB1788 Detail]
Download: Mississippi-2023-HB1788-Enrolled.html
MISSISSIPPI LEGISLATURE
2023 Regular Session
To: Local and Private Legislation
By: Representatives Morgan, Pigott
House Bill 1788
(As Sent to Governor)
AN ACT TO AMEND CHAPTER 924, LOCAL AND PRIVATE LAWS OF 2019, TO EXTEND THE DATE OF REPEAL FROM JULY 1, 2023, TO JULY 1, 2028, ON THE ACT AUTHORIZING THE GOVERNING AUTHORITIES OF THE CITY OF COLUMBIA, MISSISSIPPI, TO LEVY A TAX UPON THE GROSS SALES OF HOTELS AND MOTELS DERIVED FROM ROOM RENTALS AND UPON THE GROSS PROCEEDS OF SALES OF RESTAURANTS FOR THE PURPOSE OF PROVIDING FUNDS FOR THE PROMOTION OF TOURISM AND PARKS AND RECREATION; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Chapter 924, Local and Private Laws of 2019, is amended as follows:
Section 1. As used in this act:
(a) "Governing authorities" means the Mayor and Board of Aldermen of the City of Columbia, Mississippi.
(b) "City" means the City of Columbia, Mississippi.
(c) "Prepared food" means food prepared on the premises of a restaurant.
(d) "Restaurant" means any place where prepared food and beverages are sold for consumption, whether such food is sold for consumption on the premises or not. The term "restaurant" does not include any school, hospital, or convalescent or nursing home, or restaurant-like facilities operated by or in connection with a school, hospital, medical clinic, or convalescent or nursing home providing food for students, patients, visitors or their families.
(e) "Hotel" or "motel" means any establishment engaged in the business of furnishing or providing rooms intended or designed for dwelling, lodging or sleeping purposes to transient guests. The term "hotel" or "motel" does not include any hospital, convalescent or nursing home or sanitarium, or any hotel-like facility operated by or in connection with a hospital or medical clinic providing rooms exclusively for patients and their families.
Section 2. (1) For the purpose of providing funds to promote tourism and parks and recreation, the governing authorities are authorized, in their discretion, to levy and collect from the following persons a tax, which shall be in addition to all of the taxes and assessments imposed. The tax shall be imposed on the following persons:
(a) A tax upon every person, firm or corporation operating a hotel or motel in the city, at a rate not to exceed three percent (3%) of the gross proceeds of room rentals for each such hotel or motel.
(b) A tax upon every person, firm or corporation operating a restaurant in the city, at a rate not to exceed three percent (3%) of the gross proceeds of the sales of the restaurant.
(2) Persons, firms, corporations or other entities liable for the tax imposed under subsection (1) of this section shall add the amount of the tax to the sales price of the food and beverages and shall collect, insofar as practicable, the amount of the tax due from the person purchasing the food or beverages at the time of payment therefor.
Section 3. Before any tax authorized under this act may be imposed, the governing authorities shall adopt a resolution declaring their intention to levy the tax, setting forth the amount of the tax to be imposed, the date upon which the tax shall become effective and calling for an election to be held on the question. The date of the election shall be fixed in the resolution. Notice of the intention and 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, 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 city may vote, and the ballots used in the election shall have printed thereon a brief statement of the amount and purposes of the proposed tax levy and the words "FOR THE TAX" and, on a separate line, "AGAINST THE TAX" and the voters shall vote by placing a cross (X) or check (ü) opposite their choice on the proposition. When the results of the election shall have been canvassed and certified, the city may levy the tax if sixty percent (60%) of the qualified electors who vote in the election vote in favor of the tax. At least thirty (30) days before the effective date of the tax, the governing authorities shall furnish to the Department of Revenue a certified copy of the resolution evidencing the tax.
Section 4. (1) On or before the fifteenth day of the month preceding the date on which the city will begin to levy the tax authorized under Section 2 of this act, the governing authorities shall give written notification to the Commissioner of Revenue of the date on which the tax will become effective.
(2) The tax must be collected by and paid to the Department of Revenue in the same manner that state sales taxes are computed, collected and paid, and the full enforcement provisions and all other provisions of Chapter 65, Title 27, Mississippi Code of 1972, will apply as necessary for the implementation of this act.
(3) Except for any amount retained by the Department of Revenue under Section 27-3-58, Mississippi Code of 1972, the revenue from the special tax collected under this act must be paid to the city on or before the fifteenth day of the month following the month in which collected.
(4) Accounting for receipts and expenditures of the revenue from the tax 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 revenue from the tax shall be audited annually by an independent certified public accountant, and the accountant shall make a written report of his audit to the board of supervisors. 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.
(5) The proceeds of the tax may not be considered by the city as general fund revenues but must be placed into a special fund apart from the city general fund and any other funds and expended by the city strictly for the purposes prescribed under Section 2 of this act.
Section 5. This act
shall be repealed from and after July 1, * * * 2028.
SECTION 2. This act shall take effect and be in force from and after its passage.
