Mississippi Sales Tax Guide for Shoppers: Rates, Exemptions, and Savings Tips (2026)

Mississippi sales tax is something every shopper in the state deals with at checkout. At 7%, it ranks among the highest state-level rates in the country. Only California charges more. Whether you are buying groceries, clothing, or electronics, Mississippi sales tax affects your total on nearly everything. This guide covers what shoppers need to know in 2026. You will learn about current rates, exemptions, tax holidays, and smart ways to save.

Mississippi Sales Tax Rate: The Basics

The Mississippi sales tax rate is 7% on most retail purchases. This flat rate applies statewide. However, a few cities add a small local tax on top. The average local add-on is just 0.07%. As a result, the combined average rate across the state is approximately 7.07%.

For comparison, the national average combined rate is about 6.44%. Mississippi sits above that mark. However, it falls well below states like Louisiana at 10.11% and Tennessee at 9.61%. For everyday shoppers, expect roughly $7 in tax for every $100 you spend at most stores.

What Mississippi Does and Does Not Tax

Mississippi taxes most retail items at the full 7% rate. Clothing, footwear, electronics, and furniture all carry the standard rate. In addition, over-the-counter medications are fully taxable. This surprises many shoppers who assume medicine would be exempt.

However, there is good news on groceries. Mississippi sales tax on groceries dropped to 5% as of July 1, 2025. This reduced rate applies to food eligible for SNAP purchases. Specifically, it covers unprepared food and beverages for home consumption. Prepared foods and restaurant meals still carry the full 7% rate.

Prescription drugs are completely exempt from tax. Insulin is also tax-free regardless of prescription status. In addition, durable medical equipment ordered by a physician qualifies for exemption. These savings matter for shoppers with ongoing medical needs.

Mississippi Sales Tax by City and County

Most Mississippi cities charge only the 7% state rate. Local sales taxes are uncommon here compared to other states. However, a couple of cities do add their own tax on top. Jackson is the most notable example for shoppers.

Jackson adds a 1% local sales tax for a combined rate of 8%. Tupelo adds a smaller 0.25% local rate. For example, a $500 television costs $40 in tax in Jackson but only $35 in Gulfport. Most other major cities stick with the flat 7% state rate.

As a result, Jackson shoppers pay noticeably more than those in other cities. Specifically, the 1% difference adds $10 in extra tax on a $1,000 purchase. If you live near city borders, it may be worth comparing rates before making big purchases.

Mississippi Sales Tax Holidays

Mississippi offers two sales tax holidays each year. These weekends let you buy qualifying items completely tax-free. Planning your purchases around these dates leads to real savings. Check our best time to buy calendar for more seasonal shopping strategies.

The Back-to-School Sales Tax Holiday runs July 10 through 12, 2026. Clothing, footwear, and school supplies priced under $100 per item qualify. Items at $100 or more remain fully taxable. The exemption does not apply partially. For example, a $99 backpack is tax-free but a $100 backpack is not.

The Second Amendment Sales Tax Holiday runs August 28 through 30, 2026. Firearms, ammunition, archery equipment, and related accessories all qualify. Unlike back-to-school, there is no price cap. Every qualifying item is exempt regardless of cost. In addition, hearing protection and gun safes are included.

However, individual municipalities can opt out of the back-to-school holiday by resolution. Check with your local city before making a special trip. The Second Amendment holiday does not have this opt-out provision.

Online Shopping and Mississippi Sales Tax

Mississippi sales tax applies to most online purchases today. Amazon, Walmart.com, Target, and other major retailers collect it automatically at checkout. You will not need to calculate or remit anything yourself. The tax appears in your order total before you pay.

Mississippi uses origin-based taxation for in-state sellers. A seller in Oxford charges their own local rate regardless of your address. However, out-of-state sellers use destination-based rules. They charge the rate where you live. Specifically, remote sellers with over $250,000 in annual Mississippi sales must collect tax.

For example, if you live in Jackson, an out-of-state retailer charges 8%. A seller based in Hattiesburg shipping to Jackson charges only 7%. For more ways to stretch your dollar online, read our complete guide to saving money shopping online.

Smart Shopping Tips for Mississippi

Mississippi sales tax can take a real bite out of your budget over time. Here are practical ways to keep more money in your pocket.

Time big purchases around tax holidays. Buy school clothes and supplies during the July back-to-school weekend. Stock up on clothing items under $100 each. A family buying five outfits saves roughly $25 to $35 in one trip.

Buy groceries strategically. The reduced 5% rate on groceries helps every week. However, prepared foods still carry 7%. Buying raw ingredients instead of ready-made meals saves you 2% each time. In addition, consider stacking coupons and cashback offers for even bigger savings on your grocery bill.

Compare prices across city lines. If you live in Jackson, nearby suburbs charge 1% less on everything. On a $2,000 appliance purchase, that difference is $20 in savings. Specifically, Ridgeland, Brandon, and Pearl all offer the standard 7% rate.

Use cashback apps on every purchase. Since the state rate is high, earning cashback offsets part of the tax burden. Browse our cashback app reviews to find the best options. Every percentage point back helps when tax starts at 7%.

Explore all of our shopping guides for more state-specific savings strategies. Mississippi shoppers benefit from knowing exactly when and where to buy.

Frequently Asked Questions

What is the sales tax rate in Mississippi?

The Mississippi sales tax rate is 7% on most retail purchases. Jackson has the highest combined rate at 8% due to a 1% local tax. Tupelo charges 7.25%. Most other cities charge only the 7% state rate with no local add-on.

Are groceries taxed in Mississippi?

Yes, but at a reduced rate. As of July 2025, groceries eligible for SNAP purchases are taxed at 5% instead of the standard 7%. Prepared foods and restaurant meals still carry the full 7% rate. This change came through the Build Up Mississippi Act signed in March 2025.

Does Mississippi have a sales tax holiday?

Yes. Mississippi sales tax holidays happen twice each year. The Back-to-School holiday in July covers clothing and school supplies under $100 per item. The Second Amendment holiday in August covers firearms and accessories with no price limit. Both weekends run Friday through Sunday.

Start Saving on Every Purchase

Now that you know your state’s sales tax rates, use that knowledge to time your purchases and stack savings. Combine tax-free shopping periods with cashback apps and coupon codes to keep more money in your pocket.

Official Sources

• Tax Foundation — state and local sales tax data
• IRS.gov — federal tax information
• FTC Consumer Information — shopping rights and protections

Rates current as of May 2026. Sales tax rates change periodically. Always verify current rates with your state’s revenue department.