The Alabama Policy Institute, a conservative organization, has also pushed to end the grocery tax.
“API has been an advocate for, not only the reduction in that tax because it is highly regressive, but the complete elimination of it,” said Stephanie Smith, president and CEO of the Alabama Policy Institute. “We are still pushing for the elimination of it.”
Until last year, Alabama had applied the full state sales tax to groceries since 1939, when the tax was introduced. The 4% state tax, combined with local levies, meant that Alabamians paid up to 10% in taxes on their groceries. In Montgomery, a family spending $600 a month on food would pay $60 in taxes on top of that.