Mississippi Wrongly Taxed Freight Fees, Pipeline Tells Justices

Tennessee Gas Pipeline Co. agrees with the Mississippi Department of Revenue that the state’s top court should clarify whether the state may impose use taxes on freight charges for purchases made in the state.

The department asked the high court in April to overturn a 2023 chancery court ruling freeing the company from use tax obligations on the shipping charges because they were part of a separate transaction with a third party, not the seller. The state argued the freight fees were part of the “purchase or sales price,” as defined by state law.

The company disagreed in a June ...