House committee votes to remove sales tax from groceries
Published 12:42 pm Thursday, February 5, 2009
A proposal to remove the state’s 4 percent tax from groceries has passed the first hurdle in the Alabama Legislature.
The bill by Rep. John Knight of Montgomery was approved Thursday morning on a voice vote with several members expressing opposition. A bill to remove the tax from food purchases passed the House last year, but was defeated in the Senate.
The bill is a constitutional amendment and would have to be approved by Alabama voters if it passes the Legislature.
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The measure would replace the lost revenue from the sales tax by removing the deduction for federal income taxes paid from some higher income taxpayers. That’s a change from last year’s bill that would have removed the federal income tax deduction for all taxpayers.