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. Specifically, the bill inserts the term "dietary" before "supplements" in the relevant section, while also removing the previous exclusion of dietary supplements from the definition of exempt food items.

As a result of this amendment, dietary supplements, which are defined in Code section 423.3(57)(c) to include vitamins and minerals, will no longer be subject to sales tax. This change aligns with the existing exemptions for food and food ingredients, thereby providing a tax relief for consumers purchasing dietary supplements. Additionally, items exempt from sales tax are also exempt from the use tax, as stated in Code section 423.6.

Statutes affected:
Introduced: 423.3