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Oklahoma’s historic grocery tax cut coming soon
News
September 5, 2024
Oklahoma’s historic grocery tax cut coming soon
By REP. NEIL HAYS,

Lately, the United States has been experiencing increasing inflation rates, and Oklahoma is no exception. Acc ording to March 2024 data from the U.S. Census Bureau, 60% of Oklahoma respondents reported struggling to cover their regular household expenses in the past week.

Federal data suggests that the cost of a dozen eggs has doubled, and a loaf of white bread now costs $1.96, an increase of 51% in just four years. Inflation remains devastatingly high and continues to affect every area of the economy.

With this in mind, the long-awaited state grocery tax will take effect on August 29, offering much-needed financial relief to the people of Oklahoma.

House Bill 1955 eliminates the 4.5% state sales tax on groceries, introducing the most significant single-year tax cut in Oklahoma’s history.

This tax cut is estimated to return about $418 million to Oklahomans, providing each person with an average annual savings of $105.79 at the checkout line.

The sales tax elimination will apply to most groceries; however, certain items, such as ready-to-eat prepared foods, heated foods, and grocery deli items, will remain taxable. To determine which items are exempt from the state sales tax, please visit Oklahoma.gov/tax. html.

It is also important to remember that local taxes will still be applied to grocery bills. Many cities and counties use that revenue to fund local police, fire, emergency services, road repairs, and more.

Eliminating the state grocery tax marks a significant step toward easing the financial burden on Oklahoma families; however, it is not the ultimate solution. We must remember the money paid in taxes belongs to the taxpayers.

As always, please do not hesitate to reach out to me with any concerns at 405-557-7302 or neil. hays@okhouse.gov.

Rep. Neil Hays, a Republican, serves District 13 in the Oklahoma House of Representatives, which covers Mc-Intosh, Muskogee and Wagoner County.

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