Chief Patron: Suetterlein
Sales and Use Tax Food for Human Consumption and Personal Hygiene Products (language only)
Item 3-5.24 #1s
Item 3-5.24 #1s | | | |
| Adjustments and Modifications to Tax Collections |
|
Language
Page 599, after line 8, insert:
| "3-5.24 RETAIL SALES AND USE TAX EXEMPTION FOR FOOD PURCHASED FOR HUMAN CONSUMPTION AND ESSENTIAL PERSONAL HYGIENE PRODUCTS | $0 | $0 | |
A. Notwithstanding any other provision of law, on and after January 1, 2027, no tax shall be imposed pursuant to Chapter 6 (§ 58.1-600 et seq.) of Title 58.1 of the Code of Virginia upon food purchased for human consumption and essential personal hygiene products, as such terms are defined in § 58.1-611.1 of the Code of Virginia.
B. Beginning on and after January 1, 2027, the additional revenue generated by the taxes imposed pursuant to §§ 58.1-605 and 58.1-606 of the Code of Virginia upon the sale and use of any equipment, software, or other items that were, or would have been, exempt from the tax imposed pursuant to this chapter under subdivisions 17, 18, or 19 of § 58.1-609.3, as they were effective on December 31, 2026, shall be distributed among the counties and cities in amounts determined by each county's or city's pro rata share of total sales and use tax collections in the month for which such distribution is made."
Explanation
(This amendment eliminates the remaining one percent local sales and use tax on food for human consumption and personal hygiene products. It directs the additional local sales tax revenue from the data center exemption expiration, in Item 4-14 #4s, to be distributed among the counties and cities on the locality's pro rata share of total sales and use tax collections.)