Possible sales tax increase coming to Pearl - MSNewsNow.com - Jackson, MS

Possible sales tax increase coming to Pearl

Source: WLBT Source: WLBT
Source: WLBT Source: WLBT
Source: WLBT Source: WLBT
Source: WLBT Source: WLBT
PEARL, MS (Mississippi News Now) -

Prices may be going up in Pearl after the city reports it needs more money to fix roads or parks. 

Two proposals are under consideration, but voters will have the final say

Mayor Jake Windham says his city is struggling to get out of the financial hole that started out as a clerical issue in the previous administration. 

After making some budget cuts and layoffs, the City of Pearl is still struggling to make ends meet and now they're looking at raising their sales tax.

"We've made the necessary cuts, prior to going to them," said Windham. "We've cut everywhere that we could possibly do or make in the past 7 months and that way, our hands are clean. We don't come to them in a way with wants. These are needs at this point."

State legislators are looking at two proposals that could raise various sales taxes and would have to approve a special election, but the final say will come from Pearl voters. 

When asked if they though the city needed the sales tax increase, one Pearl park-goer said, "Well maybe for the roads and parks, but other than that, I don't think so."

In the two proposals, one would implement a sales tax on hotels of three percent and would raise sales tax at all restaurants by one percent.

The second proposal would impose a special sales tax of one percent on all businesses in Pearl -- an increase Mayor Windham believes would generate about $3 million a year.

Mayor Windham says the tax increase would be short lived, only last about five years.

All of this money would also go towards resurfacing streets and improving avenues like parks, which in turn, increases tourism. 

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