Lawmaker proposes food sales tax cuts in Alabama

Plan to end grocery tax in Alabama

MONTGOMERY, AL (WBRC) - With more money being spent at the pump in Alabama, a Tuscaloosa lawmaker is working to save shoppers money at the grocery store.

State Representative Chris England (D), filed a bill that would allow local leadership to remove or reduce their percentage of sales tax on food. For decades lawmakers have tried to save shoppers money at the register by cutting sales tax on food, none of the bills ever pass but this time, England hopes is different.

“The issues that we’ve had in the past in regard to removing sales tax from food is that we’d lose a number of dollars going to the Education Trust Fund without a way to replace them,” England said.

Here’s how the tax cut would work: You buy an apple for $1 and pay $0.10 in taxes. Depending on where you’re buying the apple, half of the taxes go to the state, the rest of the taxes stay local. If England’s bill becomes law, and the municipality in which you’re buying the food opts- in, you’ll only pay state taxes on food, which in this scenario would decrease from 10 to 5 percent.

“This ensures the state still gets its share of taxes to continue contributing to the education fund and you’ll get a small tax break,” said England.

England say the tax is needed.

“Based upon the fact that we recently passed the gas tax and other areas are raising taxes to pay for education and other city services, this is an opportunity to give those citizens a tax break,” he said.

The bill could take a while to pass through the approval process; however, England hopes to have the bill approved during this current legislative session.

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