Business

Amazon to start collecting sales tax from Mississippi shoppers

The days of shopping sales tax-free through Amazon are coming to a close.

The online retailer has notified the Mississippi Department of Revenue that they will begin to collect sales tax from the state’s online shoppers February 1.

The Mississippi Department of Revenue made the announcement via social media Tuesday afternoon.

Department of Revenue Commissioner Herb Frierson commented on the sales tax collection.

“I appreciate Amazon for voluntarily stepping forward to collect the Mississippi sales tax. I hope that other e-retailers will follow the lead of Amazon,” said Frierson.

Attorney General Jim Hood has worked toward establishing online sales tax to help create an even playing field for Mississippi’s local businesses. Hood petitioned the Supreme Court in November to reverse a law established in 1992 that would prohibit states from collecting online sales tax, if that retailer didn’t have a brick-and-mortar location within the state.

“More and more, the marketplace is moving from Main Street to the Information Superhighway, and our local merchants are at an unfortunate disadvantage,” Attorney General Hood said. “If local stores are unable to compete with out-of-state online retailers, we lose jobs, an important tax base and a critical investment in our communities. We’re asking the Supreme Court to even the playing field for merchants and to allow the states to gain the revenue that should be due to them.”

News Mississippi has contacted the Department of Revenue for more information and is awaiting a response.

 

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