OKLAHOMA CITY – Anyone waiting for the state’s portion of the grocery tax to drop can circle their calendars for Thursday, Aug. 29.
According to state law, if no effective date is specified in a bill, and no emergency clause is added, a bill approved by the governor becomes law 90 days after sine die adjournment. Although Gov. Kevin Stitt signed House Bill 1955 into law on Feb. 28, the last day of the legislative session was May 29.
Before state leaders agreed on eliminating the state’s 4.5% state sales tax on groceries, Oklahoma was one of only 13 states that imposed a grocery tax. By removing this tax burden, Oklahoma families are expected to save an average of $700 per year, which will provide much-needed relief during inflationary pressures, said a legislative press release. In addition, the law also restricts any increases in local sales taxes from affecting food and food ingredients until June 30, 2025.
“Oklahomans have waited for this day for years, and I’m proud to be the governor that Oklahomans chose to eliminate the state portion of the grocery tax,” Stitt said at the time. “I’ve called for tax cuts every year since I’ve been in office - and when we see such broad bipartisan support for a bill like this, we know we’re doing something right.”
According to the Sales Tax Institute, the zero rate does not apply to alcoholic beverages, dietary supplements, marijuana products, prepared food or tobacco. The state definition of food and food ingredients qualified for the exemption does include bottled water, candy and soft drinks.
Prepared food is defined as “food sold in a heated state or that is heated by the seller, two or more food ingredients mixed or combined by the seller for sale as a single item, or food sold with eating utensils provided by the seller, including plates, knives, forks, spoons, glasses, cups, napkins, or straws.”