Politics
Tennessee House Speaker Sexton Files Bill to Permanently Cut Grocery Sales Tax
House Speaker Cameron Sexton has filed legislation to permanently eliminate the sales tax on food staples like dairy, bread, fresh meat, and produce, setting up a clash with Democrats who want corporations to foot the $800 million annual bill. The session begins in January.
NASHVILLE â Tennessee House Speaker Cameron Sexton has filed legislation to permanently cut the state's sales tax on groceries, setting the stage for a legislative fight over how to deliver relief to shoppers squeezed by high food prices.
The bill, filed ahead of the January legislative session, would eliminate the tax on a range of food staples. Sexton said the exemption would extend well beyond the basics.
"It will be more than milk, bread and eggs obviously," Sexton said. "What it will be is if you look at food staples, you could see dairy, which includes milk, cheeses, yogurt, breads, well, you know, fresh meats, vegetables, and produce, or fruits."
The proposal follows a Democratic push for a grocery tax cut that Republicans rejected last year. Democrats plan to reintroduce their own version, which would require corporations to absorb the cost so the state does not lose roughly $800 million in annual revenue.
"It actually had corporations make up that tax so that we didn't lose $800 million of revenue annually," said state Sen. Heidi Campbell, D-Nashville.
Sexton argued the Democratic approach would backfire. He said it "would only increase the cost of living in our state and increase the goods." His plan, he said, would be funded through surplus revenue in the state budget.
Campbell said she could support Sexton's bill if it genuinely helps Tennesseans, but she questioned the financing.
"I mean, we, that's just moving money around. So we, you know, certainly have lots and lots of needs in this state that are gonna go unmet," she said.
For shoppers like Blaze Sams, who said he budgets carefully to cover rent, gas and other bills, any relief would be welcome.
"I can't buy this amount of groceries. I have to sacrifice this," Sams said. "I think that would help a lot of people."
The debate comes as grocery prices remain a top concern for households across the state. Nashville recently implemented its own grocery tax cut, and advocates on both sides say the issue will be central when lawmakers return to the Capitol in January.