1 week Ago By Josephine Fuller
SHOPPERS should see lower costs at the supermarket after a state repealed its grocery tax. As inflation keeps prices high, Oklahoma shoppers are now paying less. The grocery tax cut eliminated the 4.
5% state tax on most food products. The state legislature approved the cut to support taxpayers, setting it into effect on August 29. State officials said the measure is expected to save shoppers hundreds of dollars in grocery bills each year.
Staples like dairy products, canned foods, and baby food won't be taxed. read more on taxes Prepared food like rotisserie chicken, hot deli soups, and beer will still face the fee. “This legislation reflects our commitment to making life more affordable for all Oklahomans.
The grocery tax is a regressive tax that impacts everyone every time they buy groceries," wrote Senate Leader Greg Treat in a press release . "While this tax cut represents the largest tax cut in state history, it also supports the well-being of our citizens. I am proud to have supported this tax cut for many years and am proud to finally get it across the finish line.
” However, some shoppers didn't even realize the tax cut went into effect. Most read in Money Don Murray, a shopper in Oklahoma City, said he noticed increases in the cost of chicken, beef, and eggs, among other items. The tax cut wouldn't offer him much respite, though, as the items he spends the most on aren't covered.
Murray, also known as the "critter man," spends about $150 on pet food monthly. He still looks forward to the savings on other items. "We already pay so much on taxes," he told The Oklahoman .
"You work, you get taxed. You have property taxes..
.Anything helps. It's definitely going to help in the long run.
" TAX CUTS Similarly, Illinois is set to end its grocery tax as part of the 2025 budget. How much Oklahoma residents save on their groceries depends on how much they spend. The Oklahoma Policy Institute found that a family earning $40,000 yearly will save about $125 under the new measure.
It's also important to note that local governments can still charge sales tax. For example, Oklahoma City has a sales tax of 4.125%.
The 1% existing tax on groceries was previously suspended between July 2022 and June 2023. Now, it will be removed entirely and could save the average family of four up to $130 on their grocery bill. “It’s one more regressive tax we just don’t need," said Governor JB Pritzker.
"If it reduces inflation for families from 4% to 3%, even if it only puts a few hundred bucks back in families’ pockets, it’s the right thing to do." Read More on The US Sun Shoppers are worried that a proposed merger between Kroger and Albertsons could lead to higher prices . A Costco member revealed how to save money with a once-a-month deal .
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