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Bill to Eliminate Sales Tax on Groceries

KSBI News

Story Created: Mar 11, 2010 at 3:26 PM CDT

Story Updated: Mar 11, 2010 at 3:29 PM CDT

OKLAHOMA CITY (AP) - Sales taxes on groceries would be eliminated once the state's economic condition approves under a bill that has passed the Oklahoma Senate.

The Senate voted 33-11 on Thursday in favor of Senate Bill 1328, by Sen. Jay Paul Gumm, D-Durant. The measure now heads to the
House.

The bill would eliminate the sales tax on groceries once state revenue collections return to where they were before the economic downturn.

The bill also has a provision that would require the state to reimburse local cities and counties for sales taxes lost on groceries.

Despite the bill's passage, Senate President Pro Tem Glenn Coffee indicated it could be difficult for the measure to be signed into law this year. Lobbyists for cities and counties are fiercely opposing the bill.