States Reconsider Grocery Sales Taxes

The Push to Tax Less at the Checkout: States Reconsider Grocery Sales Taxes

States across the country are introducing legislation to reduce or eliminate sales taxes on groceries and prepared food, reflecting ongoing affordability concerns. In Alabama, bills such as HB 336 and HB 647 would exempt groceries or phase out the sales tax on food over time. Connecticut lawmakers have introduced multiple bills, such as HB 5006, to eliminate the additional one percent meals tax on food sold by grocery stores and restaurants. Meanwhile, Hawaii has several measures that would exempt groceries eligible under SNAP or fully remove the general excise tax on food purchases. These bills signal a growing nationwide trend toward reducing taxes on household items as affordability continues to remain a top priority for legislators.

FOCUS will continue to monitor grocery sales tax legislation in state legislatures across the country.