Herb Frierson, Revenue Commissioner, was formerly the chairman of the House Appropriations Committee. He presented a bulleted listing of reform ideas to a panel, which has spent the summer and fall contemplating a complete rewrite of the state’s tax policy. Frierson suggested that the state’s liquor warehouse markup could be increased by 1 to 2 percentage points, and that a storage fee would be added. This would bring in additional revenue. Many lawmakers pressed Frierson and his staff for clarifications about the state’s liquor regulations and warehouse. Frierson stated that 27 percent markup has been applied to wine and spirits when they enter the state warehouse. This is the lowest rate in the country. “We might want a 28 percent or 29 percent markup on that… We are the only ABC state (Alcohol Beverage Control), that doesn’t charge for warehouse space. Frierson mentioned that we might raise markup on items that take up too much space in warehouses because of how they are packaged. However, sports betting is not legal in Mississippi. Frierson stated that many Mississippians do play the odds. The industry could generate an additional $88 million-100 million if it is legalized and taxed at the state level. Frierson stated that although these issues are controversial among conservative Christian friends and I respect their positions but that he is considering all options. Nicole Kaeding from the Tax Foundation, who met with the panel three more times, presented three reform options. Kaeding suggested that lawmakers increase the sales tax base to include fitness and barber services. She also recommended eliminating business inputs such as business fuel and leases, machinery, and equipment. Kaeding suggested that lawmakers speed up the elimination of Mississippi’s franchise and 3 percent tax brackets (currently scheduled for 2028), and eliminate its intangibles taxes, which tax the value of stocks and bonds as well as trademarks. Kaeding stated that the Mississippi intangibles taxes, which are virtually unregulated, discourage banks from opening new branches and expanding capital. Kaeding stated that no state has a perfect tax system. “But I think Mississippi’s goal is to move in a positive direction. And that’s what these options would provide.” Frierson also discussed his support for creating an Internet sales tax that applies to purchases made through large online retailers such as Amazon. Frierson stated that you could implement something similar to what Alabama did. Frierson said, “You could implement something like Alabama has.” Kaeding however expressed her opposition to an Internet sales tax Tuesday, citing ongoing Congress actions and U.S. Supreme Court decisions that will likely establish guidelines and restrictions on this issue. Kaeding stated that the Tax Foundation believes Congress should regulate Internet sales as they are “interstate sales.” She also cited legal issues if the state introduced its own legislation. Tuesday’s meeting was Lt. Governor. Tate Reeves said. Tate Reeves stated.