May 18, 2013

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Reporter: Associated Press

Food Tax

Legislation to remove the sales tax from food is gaining momentum in the Legislature. The proposal wasn't part of Gov. Riley's $1.2 billion tax package.

But the Senate voted 27-to-6 for a bill by state Senator Hank Sanders of Selma that would remove the state and local sales tax on food. That would reduce tax collections by $520 million annually. Sanders' bill would make up the lost revenue by eliminating some of the state income tax deductions. His bill now goes to the House.

House members have proposed amendments to Riley's tax bills to remove the state sales tax on food. So far, none of the amendments has passed.

But Mobile state Representative Yvonne Kennedy says momentum is growing to address the sales tax issue.


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