Town of Ackerman; authorize the levying of a tax on restaurants to promote tourism, parks and recreation.

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To: Local and Private
Legislation
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Hood

HOUSE BILL NO. 4171

AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE TOWN OF 1
ACKERMAN, MISSISSIPPI, TO LEVY A 2% TAX UPON THE GROSS PROCEEDS OF 2
SALES OF RESTAURANTS FOR THE PURPOSE OF PROVIDING FUNDS TO PROMOTE 3
TOURISM AND PARKS AND RECREATION WITHIN THE TOWN; TO REQUIRE AN 4
ELECTION BE HELD ON THE QUESTION OF WHETHER SUCH TAX MAY BE 5
LEVIED; AND FOR RELATED PURPOSES. 6
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 7
SECTION 1. As used in this act, the following terms have the 8
meanings ascribed to them in this section unless the context 9
clearly indicates otherwise: 10
(a) "Governing authorities" means the mayor and board 11
of aldermen of the Town of Ackerman, Mississippi. 12
(b) "Prepared food" means food prepared on the premises 13
of a restaurant. 14
(c) "Restaurant" means all places within the corporate 15
limits of the town where prepared food and beverages are sold for 16
consumption, whether such food is consumed on the premises or not. 17
The term "restaurant" does not include any school; hospital; 18
convalescent or nursing home; and restaurant-like facility 19
operated by or in connection with a school, hospital, medical 20
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clinic, convalescent or nursing home providing food for students, 21
patients, visitors or their families. 22
(d) "Town" means the Town of Ackerman, Mississippi. 23
SECTION 2. (1) For the purpose of providing funds to 24
promote tourism and parks and recreation within the town, the 25
governing authorities of the Town of Ackerman, Mississippi, in 26
their discretion, may levy, assess and collect a tax from persons, 27
firms or corporations specified in this subsection, a tax, which 28
shall be in addition to all other taxes or assessments imposed. 29
The tax shall be imposed upon every person, firm or corporation 30
operating a restaurant in the Town of Ackerman, Mississippi, where 31
prepared food and drink is sold to the public, at a rate not to 32
exceed two percent (2%) of the gross proceeds of the sales of such 33
restaurant or business. 34
(2) Persons, firms, corporations or other entities liable 35
for the tax imposed under subsection (1) of this section shall add 36
the amount of the tax to the sales price of the food and beverages 37
and shall collect, insofar as practicable, the amount of the tax 38
due from the person purchasing the food or beverages at the time 39
of payment therefor. 40
SECTION 3. Before any tax authorized under this act may be 41
imposed, the governing authorities shall adopt a resolution 42
declaring their intention to levy the tax, setting forth the 43
amount of the tax to be imposed, the date upon which the tax shall 44
become effective and calling for an election to be held on the 45
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question. The date of the election shall be fixed in the 46
resolution. Notice of the intention and the election shall be 47
published once each week for at least three (3) consecutive weeks 48
in a newspaper published or having a general circulation in the 49
town, with the first publication of the notice to be made not less 50
than twenty-one (21) days before the date fixed in the resolution 51
for the election and the last publication to be made not more than 52
seven (7) days before the election. At the election, all 53
qualified electors of the town may vote, and the ballots used in 54
the election shall have printed thereon a brief statement of the 55
amount and purposes of the proposed tax levy and the words "FOR 56
THE TAX" and, on a separate line, "AGAINST THE TAX" and the voters 57
shall vote by placing a cross (X) or check (✓) opposite their 58
choice on the proposition. When the results of the election shall 59
have been canvassed and certified, the town may levy the tax if 60
sixty percent (60%) of the qualified electors who vote in the 61
election vote in favor of the tax. At least thirty (30) days 62
before the effective date of the tax, the governing authorities 63
shall furnish to the Department of Revenue a certified copy of the 64
resolution evidencing the tax. 65
SECTION 4. (1) On or before the 15th day of the month 66
preceding the date on which the town will begin to levy the tax 67
authorized under Section 2 of this act, the governing authorities 68
shall give written notification to the Commissioner of Revenue of 69
the date on which the tax will become effective. 70
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(2) The tax must be collected by and paid to the Department 71
of Revenue in the same manner that state sales taxes are computed, 72
collected and paid, and the full enforcement provisions and all 73
other provisions of Chapter 65, Title 27, Mississippi Code of 74
1972, will apply as necessary for the implementation of this act. 75
(3) Except for any amount retained by the Department of 76
Revenue under Section 27-3-58, Mississippi Code of 1972, the 77
revenue from the special tax collected under this act must be paid 78
to the town on or before the fifteenth day of the month following 79
the month in which collected. 80
(4) Accounting for receipts and expenditures of the revenue 81
from the tax shall be made separately from the accounting of 82
receipts and expenditures of the general fund and any other funds 83
of the town. The records reflecting the receipts and expenditures 84
of the revenue from the tax shall be audited annually by an 85
independent certified public accountant, and the accountant shall 86
make a written report of his audit to the governing authorities. 87
The audit shall be made and completed as soon as practicable after 88
the close of the fiscal year, and expenses of the audit shall be 89
paid from the funds derived pursuant to this act. 90
(5) The proceeds of the tax may not be considered by the 91
town as general fund revenues but must be placed into a special 92
fund apart from the town general fund and any other funds and 93
expended by the town strictly for the purposes prescribed under 94
Section 2 of this act. 95
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ST: Town of Ackerman; authorize the levying of
a tax on restaurants to promote tourism, parks
and recreation.
SECTION 5. This act shall be repealed from and after July 1, 96
2030. 97
SECTION 6. This act shall take effect and be in force from 98
and after its passage. 99