As 2026 kicks off, states continue to reduce or do away with their sales taxes on grocery items.
On Jan. 1, Arkansas and Illinois ended their statewide taxes of 0.125% and 1%, respectively, on groceries. Groceries are still subject to local sales tax in both states, with the Jacksonville Journal-Courier reporting that more than half of Illinois residents will continue to pay a local grocery tax.
Virginia legislators are poised to consider a new bill to repeal the state’s 1% grocery tax when its General Assembly reconvenes later this month, WSLS reported. While the proposal would save consumers around $150 annually, it would cut about $250 million in state revenue, the news outlet reported…