Alabama Grocer 2023 Issue 3.indd

A GROCERY ACCOMPLISHMENT CHAIRMAN’S MESSAGE

Bob Crawford President United-Johnson Brothers ALABAMA GROCERY TAX CUT BY 1%

It seems that everything is costing more these days, but here is some great news that everyone in Alabama can enjoy. On September 1, 2023, Alabamians received a tax cut on grocery items. The new state grocery item tax rate is now 3%. It was cut by 1% through legislation sponsored by State Representative Danny Garrett (R-Trussville) and State Senator Andrew Jones (R-Centre). A big thank you to the Alabama Grocers Association team and for those who helped champion this success.

Today, there are 37 states that do not have a grocery sales tax and only 13 states that do have one. Currently, Mississippi has the highest grocery tax rate at 7%. Six of the thirteen states have made adjustments to their grocery tax rate this year through legislation. The states were Alabama, Kansas, Virginia, Illinois, Tennessee, and Idaho. Even more good news, Alabamians could see another 1% reduction in the grocery tax in 2024 if there is sufficient growth in the Educational Trust Fund (ETF) for the next fiscal year.

Please join me as we celebrate this great win for Alabama and know that the mission of the Alabama Grocers Association is to promote the growth and success of the food industry in the state of Alabama through advocacy, education, public relations and networking.

Best Regards, Bob

5 | ALABAMA GROCER