Jackson County

Pascagoula to meet with businesses on new restaurant tax

It shouldn’t last more than an hour, but it’s an informational session that businesses in Pascagoula — especially restaurants — need to attend.

On Monday at the Jackson County Chamber of Commerce building on Krebs Avenue, the city will have a representative from the state Department of Revenue on hand to answer questions and offer any examples or explanations that businesses might need in dealing with the new 2 percent prepared-food tax.

Restaurants will begin collecting it on Jan. 1 and they must report what they’ve collected. The city voted in the tax this year to support major improvements to city recreation.

Some of our businesses are curious and want to know if it applies to them.

Jen Dearman, director of Community and Economic Development

Businesses that will deal with the tax include hotel and motel dining rooms, cafeterias, lunch stands and grocery and convenience store stands where food is consumed on site.

Schools, hospitals and nursing home facilities for feeding are excluded from the tax.

Jen Dearman, city Community and Economic Development director, said the Department of Revenue will answer questions in depth — how it will work, what it will look like, if it applies to you.

“Basically, we want to make sure everyone walks away with an understanding and that they are comfortable with what this all means as of Jan. 1,” she said.

Most of the city businesses use TAP, the state’s online tax reporting system, she said. They will receive a notice from the Department of Revenue and will be prompted to file the additional tax.

“Some of our businesses are curious and want to know if it applies to them,” she said.

The meeting will be an open forum discussion of the topic until all questions are answered. Dearman said the city wants to be proactive and put everyone at ease.

There will be handouts, a resource page with bullet points. The city sent out more than 60 invitations.

Sponsors are the city, the Pascagoula Area Council of the Chamber of Commerce and the Jackson County Chamber of Commerce.

Open forum

  • 10 a.m. Monday
  • Jackson County Chamber of Commerce, 720 Krebs Ave., Pascagoula
  • Sponsored by Pascagoula and the Pascagoula Area Council of the Chamber of Commerce

Starting Jan. 1, Pascagoula restaurants will collect a new 2 percent tax and report it via:

  • Taxpayer Access Point (TAP) with the state Department of Revenue
  • Or Form 72-010 Sales and Special Tax Return using rate code 92