Idaho Senate rewrites tax plan to remove grocery tax

Senate lawmakers have narrowly decided to repeal the state’s taxation on groceries in order in a fight over what sort of tax relief will be provided to Idahoans at the end of the legislative session.

Earlier this year, the Idaho House sent a $51 million tax cut plan to the Senate with expectations it would be amended. On Thursday, the Senate not only debated several changes, but also completely rewrote the bill to remove the state’s current grocery tax rather than reduce Idaho’s top income and corporate tax rates.

Sen. Cliff Bayer, a Republican from Meridian, says repealing the grocery tax will offer the biggest tax relief to the most people. Bayer’s amendment also removes the grocery tax credit, which was implemented to help offset the burden of paying taxes on food.

The House must now reapprove the newly amended proposal.