Senate Bill 167 amends Tennessee Code Annotated, Section 67-6-228, concerning the taxation of food and food ingredients. The bill replaces the existing subsection (a) with new provisions that establish a general sales tax rate of four percent (4%) on the retail sale of food and food ingredients intended for human consumption. However, it introduces an exemption for the retail sale of fresh, frozen, or canned fruits and vegetables, which will not be subject to this sales tax.

The changes will take effect on July 1, 2023, emphasizing the state's commitment to adjusting tax policies related to food sales. This legislation aims to alleviate the tax burden on consumers purchasing essential food items, particularly fruits and vegetables, thereby promoting healthier eating habits among the population.

Statutes affected:
Introduced: 67-6-228