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TN Coalition Puts Together New “Shopping List” to Reduce Food Tax

September 14, 2007

Nashville, TN – A coalition is meeting in Nashville this weekend to talk about further reductions in the food tax. The tax on food groceries is down 1.5 percent since 2002, but Rachael Bliss with Tennesseans for Fair Taxation says that's just a nibble at the state's high tax rate on food.

"We think it needs to be cut much more. We're still about third in the country with the highest food tax."

Bliss says any proposal to cut the food tax will be balanced with revenue to replace lost taxes.

"We have options such as closing the corporate tax loopholes, or ending the tax break on big-ticket items. We'll be looking more into these things."

Bliss says Tennesseans can buy almost a week's worth of extra groceries thanks to reductions so far. Most states fully exempt grocery food items from sales tax. Arkansas cut its food tax in half earlier this year.

Deborah Smith/Chris Thomas, Public News Service - TN