KANSAS (KSNT) – The food sales tax for Kansas will be dropping significantly at the beginning of 2023, giving local residents more money in pocket.

Currently Kansas has the second highest sales tax rate on food in the entire country at 6.5%. House Bill 2106 is set to eliminate that state sales tax on groceries by 2025.

On Jan. 1, 2023 the Kansas food sales tax will drop to 4% and in 2024 it will drop again to 2%. Washburn Economy professor Paul Byrne told 27 News that the reduction is a win-win for Kansans.

“It will certainly help the grocery store industry,” said Byrne. “People will buy more in that industry so that industry will be better. To the extent where people don’t buy more food that’ll be a little more dollars in their pocket.”

The foods that do qualify for the tax reduction are basic grocery items including:

  • Foods that qualify
    • Milk
    • Eggs
    • Bread
    • Meat
    • Bottled Water
    • Soft drinks
    • Candy
    • Dietary supplements
  • Foods that do not qualify
    • Alcohol
    • Tobacco
    • Prepared foods

Local sales taxes like city and county tax will still apply at the grocery store.