This bill amends the Arkansas sales and use tax law to provide a sales and use tax exemption for food pantries purchasing business vehicles. It defines a "business vehicle" as a motor vehicle used solely for delivering food to recipients and not for personal commuting by staff or executives. Additionally, it establishes that the gross receipts from the sale of such vehicles to food pantries will be exempt from both the gross receipts tax and the compensating use tax. The Secretary of the Department of Finance and Administration is tasked with creating rules and forms for claiming this exemption.

Furthermore, the bill introduces a one-time rebate for food pantries that purchased business vehicles in 2022 and paid sales or use tax on those purchases. Food pantries can apply for this rebate retroactively for purchases made between January 1, 2022, and December 31, 2022, with applications due by December 31, 2023. The effective date for the provisions of this act will be the first day of the second calendar month following its enactment.