A Mississippi sales tax regulation has been explained to indicate that a rebate given by a seller is considered to be a discount from the selling price when shown on the invoice and, therefore, exempt for sales tax purposes. Rebates made directly by a manufacturer, however, to the purchaser or to the seller are taxable as they are still considered part of the selling price. Buy-down payments are offered as either a sales-based or purchase-based programs. A sales-based buy down is received by a retailer from a manufacturer and is based on the number of sales of a particular product. These incentives are passed on to the consumer in the form of reduced sales prices and are a taxable component of the sale. On the other hand, a purchased-based buy-down is based on the particular product or the number of particular products the retailer holds in its inventory. These payments are considered a reduction in purchase price of the retailer and are not taxable (Mississippi Regulation, Rule 24, June 23, 2005).