The Mississippi Grocery Tax
Released by Sam Hall, Communications Director, Mississippi Democratic Party
Republicans today led an effort to prevent Democrats in the House frommaking it easier on families to purchase groceries.
The House Ways and Means Committee passed a Senate bill that would repealthe grocery tax over two years. The bill was left just as it was passed inthe Senate, setting up a vote on the House floor. Democrats in the Housevoted to suspend the rules and allow an immediate vote on this importantpiece of legislation.
However, nearly every Republican voted against suspending the rules.Democrats needed 66 votes to suspend the rules and vote on the bill. Thefinal vote was 64 to 54.
This selfish and short-sighted political move by the Republicans will notkill the bill. It will most likely come up for a regular vote tomorrow.
Mississippi is one of only 17 states that taxes groceries. Of those 17states, Mississippi has the highest grocery tax. It is unconscionable that Republicans would vote to continue taxingMississippi families on groceries.
It is time to call your representativeand tell them you want the costly grocery tax repealed!
Call (601) 359-3770 and leave a message for your representative to vote todo away with the grocery tax!
This tax cut would cut the 7% tax on groceries by 2.5% starting this July, another 1% next july down to 3.5% and eliminating the grocery tax by 2014 by cutting .5% each year after that. This is a tax cut we can all support. Feeding Mississippi families from low income to high income.
To compensate for the tax cut on groceries, the tax on cigarettes would be raised from 18 cents per pack to $1 per pack. Now, while some say this will prevent smoking (I have my doubts), it will at least go to cover the cost of cutting the grocery tax in a state that is already strapped financially.
On another note, I would vote to raise taxes in Mississippi to build up our state's infrastructure while cutting costs in areas where the state has an overdone administrative system (number of counties, number of separate school districts, number of universities) and move the Transportation commissioner to an appointed position under MDOT.
Republicans today led an effort to prevent Democrats in the House frommaking it easier on families to purchase groceries.
The House Ways and Means Committee passed a Senate bill that would repealthe grocery tax over two years. The bill was left just as it was passed inthe Senate, setting up a vote on the House floor. Democrats in the Housevoted to suspend the rules and allow an immediate vote on this importantpiece of legislation.
However, nearly every Republican voted against suspending the rules.Democrats needed 66 votes to suspend the rules and vote on the bill. Thefinal vote was 64 to 54.
This selfish and short-sighted political move by the Republicans will notkill the bill. It will most likely come up for a regular vote tomorrow.
Mississippi is one of only 17 states that taxes groceries. Of those 17states, Mississippi has the highest grocery tax. It is unconscionable that Republicans would vote to continue taxingMississippi families on groceries.
It is time to call your representativeand tell them you want the costly grocery tax repealed!
Call (601) 359-3770 and leave a message for your representative to vote todo away with the grocery tax!
This tax cut would cut the 7% tax on groceries by 2.5% starting this July, another 1% next july down to 3.5% and eliminating the grocery tax by 2014 by cutting .5% each year after that. This is a tax cut we can all support. Feeding Mississippi families from low income to high income.
To compensate for the tax cut on groceries, the tax on cigarettes would be raised from 18 cents per pack to $1 per pack. Now, while some say this will prevent smoking (I have my doubts), it will at least go to cover the cost of cutting the grocery tax in a state that is already strapped financially.
On another note, I would vote to raise taxes in Mississippi to build up our state's infrastructure while cutting costs in areas where the state has an overdone administrative system (number of counties, number of separate school districts, number of universities) and move the Transportation commissioner to an appointed position under MDOT.
posted by mrholmes | 4:25 AM
3 Comments:
the spin machine on this one is incredible.... JT and Dave spent an hour yesterday telling people that this was gonna cause their land taxes to sky rocket, and that cities were getting nothing in return.
I think cities will end up benefiting greatly from this becasue the money that people save will simply be put into the economy in other areas, plus they get money from the cig tax.
the only people who lose are the smokers, who were gonna lose in the end anyway (life).
Spin machine?
The State Tax Commission has said that the overall revenue lost by 2014 will be around 164 million dollars. Kinda hard to spin that...
JT and Dave are right. Smaller towns rely heavily on their share of sales tax revenues collected on grocery sales. This about a typical Mississippi small town with one or two grocery stores. Those are the largest sources of sales tax revenue. This will cause a huge loss of revenue that will have to made up by raising property taxes.
There is supposed to be a surplus (Cigs - Groceries = Profit) in the short run. However, Carr and Martin are right. Its true that in the long run the cigarette tax won't be able to make up for the loss from the elimination of the grocery tax. However, its also true that MS is one of only 17 states in the nation that still tax groceries, one of the basic neccessities of life. We also have the third lowest cigarette tax in the country (1 = N. Carolina = tobbacco road & 2 = Missouri).
My suggestion is to raise taxes elsewhere (income taxes or such) since our state is currently budget strapped as it is and then to cut areas that should have been cut decades ago. Also, the small towns would then have the right to raise property taxes as needed based on the town's need for funds allowing for a more local versus statewide tax. A trend by the way that the Republican Party has moved more toward in the last 6 or 8 years.
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