HB470 Alabama 2019 Session

Summary

Primary Sponsor

Mary MooreRepresentative

Democrat

Session

Regular Session 2019

Title

State sales and use tax increased, phase-in period, sales and use tax on food phased out, exempt by 2007, counties and municipalities prohibited from increasing sales tax on food, Secs. 40-23-2, 40-23-61 am'd.

Summary

HB 470 would gradually phase out the state sales and use tax on food, ending in a full exemption by 2023.

What This Bill Does

It reduces the state sales and use tax on food in four steps beginning Sept 1, 2019, reaching 3% in 2019, 2% in 2020, 1% in 2021, and an exemption starting Sept 1, 2023. It defines what counts as food for tax purposes using the federal SNAP definitions, with a note that if SNAP changes, the Legislature will define food by general law. By 2023, food would be exempt from the state sales and use taxes, reducing the tax burden on shoppers, especially those with lower incomes.

Who It Affects

• Consumers who buy food in Alabama would see the state tax on food decrease each year and be fully exempt by September 1, 2023.
• The state government and taxpayers would experience a reduction in revenue from the food tax as the rate falls and the tax is removed.

Key Provisions

• Section 3 sets the rate schedule: 3% on and after Sept 1, 2019; 2% on and after Sept 1, 2020; 1% on and after Sept 1, 2021; and full exemption starting Sept 1, 2023.
• Section 2 defines 'Food' using the SNAP-based federal definition for purposes of the tax, and defines 'Sales Tax' and 'Use Tax'; if SNAP definition is changed or removed, the Legislature must redefine food by general law.
• Section 1 expresses legislative intent that taxing food places a burden on taxpayers, especially the less fortunate.
• Section 4 states the act becomes effective on the first day of the third month after passage and approval by the Governor (or when it becomes law by other means).

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Taxation