As part of the Tennessee Tax Works Act, signed into law earlier this year, Tennesseans will enjoy a three month reprieve from taxes on certain items at the grocery store.
Food and food ingredients will be exempt from state taxes from Tuesday until October 31, according to the state’s website.
The parameters of the tax exemption are defined as such:
Food and food ingredients are defined as liquid, concentrated, solid, frozen, dried, or dehydrated substances that are sold to be ingested or chewed by humans and are consumed for their taste or nutritional value. Food and food ingredients do not include alcoholic beverages, tobacco, candy, or dietary supplements.
Gov. Bill Lee (R) celebrated the upcoming tax holiday.
“In Tennessee, we cut taxes any chance we get because families should keep more of their own hard-earned dollars. Starting Tuesday, we’re inviting Tennesseans to take advantage of savings at the grocery store this August through October,” he said. “I thank the General Assembly for partnering to deliver three months of savings for Tennessee taxpayers.”
The governor boasts that the Tennessee Tax Works Act cuts $273 million in taxes in the Volunteer State.
It was signed into law on May 11.
“Tennessee’s legacy of responsible fiscal stewardship has allowed our state to weather national economic storms while maintaining a balanced budget and cutting taxes for Tennesseans,” Lee said at the time. “We thank the General Assembly for partnering with us to make the right investments for Tennessee families and businesses while supporting our state’s future economic growth and success.”
The bill provides $150 million in annual small business tax relief, including raising the threshold for taxation of small businesses by exempting the first $50,000 in income for a small business from excise taxes.
Over the weekend, the state offered a tax holiday on back-to-school items including clothing, school supplies and computers.
That tax exemption was applied to clothing totaling less than $100, school and art supplies totaling less than $100, and computers or tablets costing less than $1500.
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Pete D’Abrosca is a reporter at The Tennessee Star and The Star News Network. Follow Pete on Twitter.
Photo “Grocery Shopping” by Michael Burrows.
This “tax free” on groceries is a joke!
Less than Bernie. At least “socialist” Vermont has actual constitutional carry, as in, no additional infringing laws, perpetual taxes on your rights, pigeon holing of ages, favoritism for judges, badges, DOD, b.s. executive order red flag laws, etc.
Of course the lion’s share of the TNGOP tax cut goes to businesses (again). At $120M, we only need EIGHT YEARS of tax free groceries to match the Ford Farm-Stealing Coal-powered rainbow truck corporate welfare.
Wow! Lee rakes in billions above budget projections and literally give taxpayers crumbs off the table. He is about as conservative as Bernie Sanders.