Sales Tax Nexus in Mississippi: What Online Sellers Need to Know

The Short Answer

Mississippi's economic nexus threshold is $250,000 — one of only two states with a threshold above the standard $100,000 (along with Alabama). The state rate is one of the higher flat rates in the country. Unlike most states, Mississippi does not exempt groceries. SaaS is taxable.

Economic Nexus Threshold

• Dollar threshold: $250,000 in gross receipts from sales into Mississippi (any consecutive 12-month period — rolling)
• Transaction threshold: None
• Effective date: September 1, 2018

Mississippi's $250K threshold means many smaller sellers have no Mississippi obligation. However, the rolling 12-month measurement (not calendar year) means your obligation can trigger at any point when your trailing 12 months cross $250K.

Does Mississippi Count Marketplace Sales Toward Your Threshold?

Marketplace facilitators collect and remit Mississippi sales tax on facilitated transactions. Whether those sales count toward your seller threshold should be confirmed — Taxero evaluates this during onboarding.

What Taxable Products Look Like in Mississippi

• State rate: One of the higher flat state rates
• Local complexity: Limited compared to states like Louisiana or Missouri
• Groceries: No exemption or reduced rate. Mississippi is one of the few states that taxes all food items at the standard rate, unlike most states, which exempt or discount groceries.
• Clothing: Taxable
• SaaS and digital goods: Taxable. Mississippi takes a broad view of taxable transactions.

How to Register in Mississippi

Mississippi is not an SST member. Register via TAP:

• Portal: tap.dor.ms.gov
• Cost: Free

Filing Requirements

Monthly or quarterly based on liability. Due 20th of the following month.

What Happens If You Don't Register

Late filing: 10% per month, maximum 25%. Interest applies.

How Taxero Handles Mississippi

Taxero tracks your Mississippi sales against the non-standard $250,000 threshold (not $100K) using the rolling 12-month window. We handle registration, apply Mississippi's broad taxability rules including SaaS and groceries, and manage quarterly filings.

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