HUNTSVILLE, Ala. (WHNT) — Starting in September, shoppers in Alabama will pay less sales tax on their groceries. A bill to lower the Grocery Tax from 3% to 2% is on its way to Governor Kay Ivey’s desk.
On Thursday, News 19 stopped by a grocery store in Huntsville to see how shoppers are feeling about this news.
“It’s a good thing, you know, anytime they lower the cost for consumers, I’m happy with it,” said Tim Bright. He was one of many shoppers that News 19 spoke with who seemed to be excited by the change.
Bright said this may bring a little relief to his wallet, as the prices of groceries have soared.
“You get sticker shock,” he said about walking into a grocery store. “You go to the store and you’re going like ‘Where have I been?’”
The sales tax change comes as both the Alabama House and Senate voted earlier this week to lower the statewide Grocery Tax. The new 2% rate will go into effect on Sept. 1 if signed by Governor Kay Ivey.
A spokesperson for Governor Ivey’s Office did not provide News 19 with a timeline for when she will sign it into law. However, the spokesperson said, “The bill now goes before the governor for her signature.”
The non-profit, public policy group Alabama Arise showed support for the bill, saying it “will improve life for every Alabamian.”
Executive Director Robyn Hyden told News 19 that it will help families save money.
“It does mean for the average Alabama family, another $150 a year that they get to hold on to,” she said.
Hyden said it is a good move, especially for lower-income and working families.
“You know, everyone has to buy food, and as a result, poor people are disproportionately taxed via these sales taxes,” Hyden said.
The Alabama Legislature already lowered the Grocery Tax from 4% to 3% in 2023.
However, Hyden said that Alabama Arise would like to see that percentage disappear altogether.
“We still are, you know, wanting to finally get rid of all of the state sales tax on food,” she said.
Shopper Tim Bright said he wouldn’t mind that either.
“Anytime they want to lower them, go ahead,” he said about the grocery tax.
Food City just opened the doors of its newest north Alabama location off of Old Gurley Road in northwest Huntsville.
Store Manager Michael West said he thinks his customers will appreciate the lower sales tax.
“Having that extra percentage knocked off is going to be a real saver for a lot of people,” West said.
The post Huntsville grocery shoppers react to lowering of Grocery Tax appeared first on WHNT.
