Saltillo will protect tourism tax

Published on : Friday, January 28, 2022

Saltillo will restore its initiation to protect a tourism tax to develop city’s quality of life of about 5,000 people.

The Board of Alderman, on Tuesday night approved a resolution requesting the state legislature to permit north Lee County city to urge its voters once again to endorse a 2% tax on the sales of hotels and restaurants. Three years back, Saltillo residents shot down the same idea.

“If it passes both sides of the legislature, we will have to do a great job of educating the public,” said Saltillo Mayor Copey Grantham. “When we start promoting, we’ll need to point out where the money is going.”

The money could be used for tourism, under the wording of the proposed legislation along with economic development, parks and recreation, and related purposes.

“That can be a myriad of things, including roads,” said Alderman Bryan Morgan. “We could use it to capitalize on the work we are already doing for park and rec.”

To all restaurant and prepared food sales, the tourism tax would be applicable as well as hotel rentals. At present, the city does not have any hotels; the added fees would apply to future hotels. City officials say that at least one hotel chain is considering building in Saltillo in the present moment.

Businesses collect tourism taxes on a monthly basis and sent to the Mississippi Department of Revenue. From municipalities, the state collects around 100 tourism taxes throughout Mississippi and keeps 3% of the proceeds to defray administrative costs, then cuts a check to each city with a tourism tax on the 15th of the month.

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