Mississippi DOR Expands Tupelo Water Tax to Include Groceries at Reduced Rate

The Mississippi Department of Revenue (DOR) published a notice announcing that retail sales of groceries subject to the reduced five percent sales tax rate within the City of Tupelo will also be subject to the Tupelo Water Procurement Facility Tax effective May 1. The Tupelo Water Procurement Facility Tax will also apply to all retail sales and services in Tupelo subject to the general seven percent state sales tax as well as all retail sales of food and drink for human consumption taxed at the five percent state sales tax rate. [Miss. Dep’t of Revenue, Notice 72-26-07, 04/23/26]

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