(KOAM) – Kansas will eliminate its state sales tax on food by January 1, 2025, following a gradual reduction that began in 2023 under House Bill 2106.
The sales tax, which started at 6.5%, dropped to 4% in January 2023, and to 2% in January 2024. Gov. Laura Kelly praised the move, calling it “a win for the Kansas people” and estimating that a typical family of four could save over $500 annually from the tax cut.
Kelly noted the public’s concerns about inflation and food prices, adding, “Eliminating the food sales tax makes a huge difference to many.” The decision is particularly beneficial to low-income residents, as the tax was considered regressive.
“People with the least amount of income pay the highest percentage of their income on sales tax,” said Daniel Kuester, economics professor at Kansas State University.
Kansas State junior Basil Knight welcomed the change, saying it would make groceries more affordable and reduce the need to rely on fast food.
Kelly also emphasized that Kansans had supported the tax cut, citing her statewide tour where she gathered input from residents, many of whom expressed their appreciation for the initiative.