Huntsville grocery shoppers react to lowering of Grocery Tax
On Thursday, News 19 stopped by a grocery store in Huntsville to see how shoppers are feeling about this news.
'It's a good thing, you know, anytime they lower the cost for consumers, I'm happy with it,' said Tim Bright. He was one of many shoppers that News 19 spoke with who seemed to be excited by the change.
Bright said this may bring a little relief to his wallet, as the prices of groceries have soared.
📲 to stay updated on the go. 📧 to have news sent to your inbox.
'You get sticker shock,' he said about walking into a grocery store. 'You go to the store and you're going like 'Where have I been?''
The sales tax change comes as both the Alabama House and Senate voted earlier this week to lower the statewide Grocery Tax. The new 2% rate will go into effect on Sept. 1 if signed by Governor Kay Ivey.
A spokesperson for Governor Ivey's Office did not provide News 19 with a timeline for when she will sign it into law. However, the spokesperson said, 'The bill now goes before the governor for her signature.'
The non-profit, public policy group Alabama Arise showed support for the bill, saying it 'will improve life for every Alabamian.'
Executive Director Robyn Hyden told News 19 that it will help families save money.
'It does mean for the average Alabama family, another $150 a year that they get to hold on to,' she said.
Hyden said it is a good move, especially for lower-income and working families.
'You know, everyone has to buy food, and as a result, poor people are disproportionately taxed via these sales taxes,' Hyden said.
The Alabama Legislature already lowered the Grocery Tax from 4% to 3% in 2023.
However, Hyden said that Alabama Arise would like to see that percentage disappear altogether.
'We still are, you know, wanting to finally get rid of all of the state sales tax on food,' she said.
Shopper Tim Bright said he wouldn't mind that either.
'Anytime they want to lower them, go ahead,' he said about the grocery tax.
Food City just opened the doors of its newest north Alabama location off of Old Gurley Road in northwest Huntsville.
Store Manager Michael West said he thinks his customers will appreciate the lower sales tax.
'Having that extra percentage knocked off is going to be a real saver for a lot of people,' West said.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
2 hours ago
- Yahoo
Nordic postal operators pause shipments to the U.S. as Trump ends parcel tariff relief
STOCKHOLM (Reuters) -Swedish and Norwegian postal groups PostNord and Posten Bring are pausing shipments to the United States ahead of the scrapping of a U.S. customs tax loophole that allows duty-free entry for low-value parcels, they said on Wednesday. U.S. President Donald Trump's administration said last month it would suspend the global "de minimis" exemption, which also allows minimal paperwork, for international shipments under $800 effective August 29. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 hours ago
- Yahoo
How unspent pension pots could rack up inheritance tax bills
Unspent pension pots could prove problematic for those calculating their potential inheritance tax bill, with new changes taking effect from April 2027. New calculations by Quilter show that a working-age single homeowner in England hoping to pass on an average-priced home (£290,395) and a pension pot of £415,000 would pass on an inheritance tax (IHT) bill of £82,158 from 2027 following changes announced in the government's budget — even if they die before reaching pension age. Until now, unspent pensions were typically passed on tax-free if the saver died before age 75, and especially if they passed away before they could access them. HMRC confirmed that from April 2027, pension savings will count towards a person's estate for IHT purposes regardless of age at death, unless covered by existing exemptions. This means that cohabiting families with young children, who do not benefit from the spousal exemption or a transferable nil-rate band, will be far more exposed, according to Quilter. 'Charging inheritance tax on a pension someone could not access and will never be able to use due to passing away before the minimum pension age is optically terrible for the government," said Jon Greer, head of retirement policy at Quilter. Read more: How to make pension pots tax-efficient "It is even more unjust for cohabiting families who have no spousal relief or ability to transfer tax allowances. A grieving family with young children and an average priced home could face six-figure IHT bills at the most distressing time." In many cohabiting households the property is jointly owned (joint tenants), meaning only half its value is included in the estate. Even then, a typical family in England would still face an IHT bill of £24,079, purely because of the pension inclusion. Where the property is solely owned by the deceased, the bill is more than three times higher. For example, in London, sole ownership of an average-priced home (£565,637) plus a £415,000 pension creates an IHT bill of £192,254 in 2027. If the home is jointly owned, that falls to £129,127 – still a severe hit for a grieving family without the protections available to married couples. Across Wales, Scotland and Northern Ireland, where lower house prices meant there was previously no liability for families with similar pensions, bills in joint-ownership cases will still be an average of £23,891, £21,392 and £20,007 respectively. These liabilities will grow if house prices inflate before the rules take effect, the research found.
Yahoo
5 hours ago
- Yahoo
How unspent pension pots could rack up inheritance tax bills
Unspent pension pots could prove problematic for those calculating their potential inheritance tax bill, with new changes taking effect from April 2027. New calculations by Quilter show that a working-age single homeowner in England hoping to pass on an average-priced home (£290,395) and a pension pot of £415,000 would pass on an inheritance tax (IHT) bill of £82,158 from 2027 following changes announced in the government's budget — even if they die before reaching pension age. Until now, unspent pensions were typically passed on tax-free if the saver died before age 75, and especially if they passed away before they could access them. HMRC confirmed that from April 2027, pension savings will count towards a person's estate for IHT purposes regardless of age at death, unless covered by existing exemptions. This means that cohabiting families with young children, who do not benefit from the spousal exemption or a transferable nil-rate band, will be far more exposed, according to Quilter. 'Charging inheritance tax on a pension someone could not access and will never be able to use due to passing away before the minimum pension age is optically terrible for the government," said Jon Greer, head of retirement policy at Quilter. Read more: How to make pension pots tax-efficient "It is even more unjust for cohabiting families who have no spousal relief or ability to transfer tax allowances. A grieving family with young children and an average priced home could face six-figure IHT bills at the most distressing time." In many cohabiting households the property is jointly owned (joint tenants), meaning only half its value is included in the estate. Even then, a typical family in England would still face an IHT bill of £24,079, purely because of the pension inclusion. Where the property is solely owned by the deceased, the bill is more than three times higher. For example, in London, sole ownership of an average-priced home (£565,637) plus a £415,000 pension creates an IHT bill of £192,254 in 2027. If the home is jointly owned, that falls to £129,127 – still a severe hit for a grieving family without the protections available to married couples. Across Wales, Scotland and Northern Ireland, where lower house prices meant there was previously no liability for families with similar pensions, bills in joint-ownership cases will still be an average of £23,891, £21,392 and £20,007 respectively. These liabilities will grow if house prices inflate before the rules take effect, the research in to access your portfolio
