Groceries to cost less
Assuming that inflation doesn’t eat up all the savings, groceries should cost 1.5% less starting Sunday. That’s when phased elimination of state sales tax on many food items will begin.
Not all taxes on food will be eliminated. The state tax rate will go from 6.5% to 4%, but city and county taxes will remain. In Marion, for example, that means shoppers still will pay a 1% county tax, a 0.75% city tax, and the remaining 4% state tax.
Not all supermarket items will qualify for the tax reduction. Prepared foods that are ready to eat or just need reheating still will pay the full tax rate. So will food sold along with eating utensils as will alcoholic drinks and tobacco products.