A state lawmaker in Tennessee has introduced House Bill 2086, also referred to as the Fresh Food Affordability Act, which proposes eliminating the state sales tax on fresh fruits and vegetables.
The measure is positioned as a response to ongoing concerns over grocery affordability, as households continue to manage food budgets. In Tennessee, the state tax on food is 4 per cent, while local sales tax rates generally range from 1 per cent to 2.75 per cent.
If enacted, the legislation would remove the state sales tax component applied to fresh produce purchases. Based on current rates, a consumer spending US$100 on fresh fruits and vegetables could save approximately US$6 at checkout, depending on local tax conditions.
Supporters of the bill indicate that removing the sales tax on fresh produce would lower retail costs for these items and increase purchasing flexibility for households.
If approved, the proposed law would take effect on July 1.
Source: Local 3 News