MISSISSIPPI LEGISLATURE

1997 Regular Session

To: Finance

By: Senator(s) Farris

AN ACT TO AMEND SECTION 27-17-392, MISSISSIPPI CODE OF 1972, TO REDUCE THE PRIVILEGE TAX LEVIED ON TRAVEL AGENCIES AND TO DELETE THE TAX LEVIED ON TRAVEL AGENTS; AND FOR RELATED PURPOSES. 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 27-17-392, Mississippi Code of 1972, is amended as follows:

27-17-392. Upon each person operating as a travel agency or other travel organization, there shall be levied a tax of Twenty-five Dollars ($25.00). * * *

The words "travel agency" or "other travel organization" shall be construed to mean any person engaged wholly or in part in the business of promoting, conducting, or putting on all-expense and partial-expense tours or travel parties and shall include any person selling steamship, airline, railroad or motor coach tickets or reservations, or any service incident to travel where such person receives remuneration in the form of money, discounted fares or free trips or any other form of gratuity whatsoever.

* * * Any * * * person who solicits, organizes or conducts tours for more than one (1) travel agency within a year will be considered as being in the business of operating a travel agency.

Nothing in this section shall be taken or construed to apply to airlines, railroads, bus lines or other carriers, hotels, resorts or rental car companies. Neither shall this section apply to school systems, fraternal organizations and similar groups where tours are conducted without remuneration in any form to the organizer and which do not include the general public.

SECTION 2. Nothing in this act shall affect or defeat any claim, assessment, appeal, suit, right or cause of action for taxes due or accrued under the local privilege tax laws before the date on which this act becomes effective, whether such claims, assessments, appeals, suits or actions have been begun before the date on which this act becomes effective or are begun thereafter; and the provisions of the local privilege tax laws are expressly continued in full force, effect and operation for the purpose of the assessment, collection and enrollment of liens for any taxes due or accrued and the execution of any warrant under such laws before the date on which this act becomes effective, and for the imposition of any penalties, forfeitures or claims for failure to comply with such laws.

SECTION 3. This act shall take effect and be in force from and after July 1, 1997.