Consumers Happy about Grocery Tax Cut

(WVLT) - Part of the new state budget means a big break on your pocketbook.

Lawmakers voted to reduce the sales tax on groceries.

Volunteer TV's Whitney Daniel spent the evening at the grocery store to see what customers think about the decision.

Even though it's small change, it adds up to more change in your pocket when you leave the supermarket.

"I probably spend over a hundred a week on groceries," says Linda Arden.

"This is just a good way to get a little bit of the money back into the working folks of Tennessee, who pay for it," says State Senator Tim Burchett.

After a vote from the state legislature, the sales tax on food in Tennessee will drop one half cent, from 6% to 5.5%.

"I'm glad that it's going down," says shopper Debby Hagar.

"I think it's wonderful," said Barbara Bolen.

"The reality is that we've just over taxed our population and the only way you can give it back is in the form of sales tax relief," says Burchett.

And shoppers say they are just relieved to see something done about the high tax.

"Any reduction in tax on food is excellent. It's a necessity in life and I don't rally think there should be tax, so this is the first step in the right direction," says Hagar.

The change still ranks Tennessee among the highest in the nation, but now the volunteers place third, down from first.

Customers at Butler & Bailey's Market say they don't think municipalities will follow suit by reducing their 2-2.75% portion of the tax.

"You have to buy food, so they are making money from the government somehow," says Jason Sanderson.

The reduction will save you about 50-cents on every hundred dollars worth of groceries.

This is the first time the tax had been reduced.

Before, the legislature raised the sales tax for other items and left the food tax at 6%.

The new rate takes effect July first.

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  • by captainkona Location: Bristol, TN on Jun 13, 2007 at 06:20 PM
    50 cents on every hundred? What kind of idiot would be "happy" about this useless BS? This is yet another failure for Tennessee government. What a joke.
  • by John Location: Karns on Jun 13, 2007 at 12:11 PM
    .50 cents per every $100 thatwhat legislators mean by a tax relief? They cannot actually think that an educated person would think that this is a relief.....come on can do better than that....nothing like stickin' it to the consumer...this relief is not even worth having media coverage over..I am embarrassed to say that I am an East Tennesseean!!!!!!!!
  • by Gail Location: Knox on Jun 13, 2007 at 10:55 AM
    How stupid, so we save 50 cents on every hundred? okay that's $2 a month, or $24 a year. Give me a break. I believe that our legislature wasted too much time and effort over nothing. I am extremely disappointed in them.


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