Tennessee bill aims to eliminate grocery tax for 6 months

NASHVILLE, Tenn. (WZTV) — A new bill is aiming to eliminate Tennessee’s four percent grocery tax for six months.

HB1071 would give Tennesseans a break from the tax from May to October of this year.

House Democratic Caucus Chair Vincent Dixie is sponsoring the bill. He says it is intended to help families most impacted economically by the COVID-19 crisis by helping them put food on their tables.

“After a year of hardship, there is finally a light at the end of the tunnel, but our working families will still face financial difficulties due to the lost work and wages of 2020. While this was designed to help put food on the table for the families who need it most, all Tennesseans will benefit from reduced grocery bills during this tax holiday,” said House Democratic Caucus Chair Vincent Dixie, the bill’s sponsor. “House Democrats believe that these are the kinds of measures that will put Tennesseans on the Path to Recovery.”

Under the legislation, the money that would normally be collected from the grocery tax would be taken out of the state’s Rainy Day Fund.

“Don’t forget – that money belongs to the people of Tennessee. Just like most families, our government saves our money so that when we hit hard times, we can compensate and recover,” Dixie said. “I’m glad that we have been able to save such a massive fortune over the past few years, because it is now available to protect us and support us when we need it most.”

The measure is expected to be discussed by the Finance, Ways, and Means Subcommittee on Wednesday. Read the full bill hereand let us know what you think by voting in our FOX Nashville Twitter poll.