The Mississippi Department of Revenue has ruled sales taxes will now be applied to meal plan flex dollars. The change went into affect on Monday.
Rhett Hobart, Student Association president, said block meals will remain unaffected.
“I am disappointed in the ruling by the Department of Revenue because it decreases student body buying power,” he said.
Bill Broyles, assistant vice president for Student Affairs, said in the past students could buy meals on campus with their flex dollars and only pay for the price of the meal. Now, however, the 7 percent Mississippi sales tax is also taken out of student flex dollar balance as well.
Broyles said there has been an ongoing discussion on how student meal plans should be taxed. This ruling affects all public universities in Mississippi, not just MSU.
“We wanted students to know about this change, so they could plan accordingly,” he said.
He said he is disappointed by the ruling because it reduces buying power.
However, he said MSU respects the Department of Revenue and plans to enforce the law under its guidance.
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New tax rule will be applied to students’ meal plans
HANNAH ROGERS
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August 22, 2011
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