Beginning in 2024, Kansas consumers are projected to see an additional $150 million in savings because of the 2022 “Axe the Food Tax” legislation.

According to projections from the Kansas Department of Revenue, the reduction of the state sales tax on groceries from 4% to 2% will save shoppers $12.5 million per month in 2024.

The savings come after the legislature ultimately passed legislation that gradually reduced the state sales tax on groceries over three years.

In 2023, the state sales tax rate on groceries went down from 6.5% to 4%, saving consumers $187.7 million per year. By the end of 2024, it is projected that shoppers will have saved more than half a billion dollars in sales tax on groceries over the two years the reduction has been in place.

The state sales tax reduction applies to food, food ingredients, and certain prepared foods. When looking at a receipt, shoppers will see two tax rates, one for qualifying purchases and one for all other items.

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Photo by Marjan Blan on Unsplash