This bill proposes an exemption for the sale of dietary supplements from the sales tax in Iowa. It amends Section 423.3, subsection 57 of the Code 2025 to include dietary supplements in the definition of food and food ingredients that are exempt from sales tax. The bill clarifies that dietary supplements, which encompass vitamins and minerals, will no longer be subject to sales tax, aligning with the existing exemptions for other food items.

Additionally, the bill removes the previous exclusion of dietary supplements from the definition of food and food ingredients, thereby allowing them to be treated similarly to other exempt food items. This change also implies that items exempt from sales tax will also be exempt from the use tax, as stated in Code section 423.6. Overall, the legislation aims to reduce the financial burden on consumers purchasing dietary supplements by eliminating the associated sales tax.

Statutes affected:
Introduced: 423.3