Sales tax is a tax imposed by state and local governments on the sale of goods and services and is usually calculated as a percentage of the sale price. Sales tax is sometimes referred to as retail sales tax.
In Mississippi (MS), sales tax is a state-level tax imposed on the sale of most goods and certain services. The state sales tax rate is 7%, which applies to the retail sale, lease, or rental of tangible personal property and certain services. Local jurisdictions in Mississippi do not add additional sales taxes on top of the state rate, which means the total sales tax rate remains consistent across the state. However, there are some exceptions where specific items may be taxed at different rates; for example, Mississippi charges a reduced sales tax rate on items such as farm equipment, manufacturing machinery, and certain types of vehicles. It's important for businesses operating in Mississippi to collect and remit the correct amount of sales tax to the Mississippi Department of Revenue. Consumers pay the sales tax at the time of purchase, and the collected tax is then used to fund state and local government services.