Bill > HB345

This bill modifies Missouri's sales tax law by gradually eliminating sales tax on food. Specifically, the bill reduces the state sales tax on food to one percent until August 28, 2025, when it will be completely eliminated. For local sales taxes, the bill mandates a phased reduction over four years, starting January 1, 2026, with local sales taxes on food being completely eliminated by January 1, 2030. The definition of "food" follows the Supplemental Nutrition Assistance Program (formerly known as Food Stamps) guidelines, and excludes prepared foods from restaurants and similar establishments where more than 80% of their gross receipts come from prepared food sales. The revenue from the reduced state sales tax on food will continue to be deposited in the school district trust fund. This legislation aims to reduce the tax burden on essential food purchases for Missouri residents by progressively eliminating sales taxes on food over several years.

https://house.mo.gov/Bill.aspx?bill=HB345&year=2025&code=R