Alabama consumers will pay more for groceries this week after a two-month suspension of the state portion of the grocery tax ended Tuesday.
The tax holiday, which temporarily removed Alabama’s 2% sales tax on groceries, ran from May 1 to June 30. The holiday did not apply to local grocery taxes. Alabama is one of the few remaining states that imposes levies on groceries, though lawmakers have cut the state portion in recent years.
“I am disappointed,” said Rep. Penni McClammy, D-Montgomery, who led the effort to reduce the grocery tax in 2023. “We filed several bills in the last session to continue to try and remove the tax on groceries. I just think we put too much focus on other areas where we spend money, instead of something as simple as making sure that we don’t have to tax the very thing that we need to survive, which is to eat.”
A message seeking comment was sent to Rep. Mike Shaw, R-Hoover, who introduced the measure creating the holiday.
Shaw’s proposal amended House Bill 527, sponsored by Rep. James Lomax, R-Huntsville, meant to address tax deductions for overtime pay.