Under existing law, the state imposes sales or use taxes upon certain persons, firms, or corporations at a general rate of four percent. Sales of certain items are taxed at a reduced rate, including food, which is taxed at two percent. This bill would eliminate the state sales and use tax on food on September 1, 2026, and allow local governments to adopt companion exemptions for local sales and use taxes.

Statutes affected:
Introduced: 40-23-2, 40-23-40, 40-23-61, 40-23-2, 40-23-1, 40-23-40, 40-23-1, 40-23-60, 40-23-4, 40-23-61, 40-23-60, 40-23-67, 40-23-1