Oklahoma expected to abolish state grocery tax

Oklahoma Republican Governor Kevin Stitt is expected to sign a new bill into law that would eliminate the state's grocery tax, KOCO reported.

On Thursday, the state senate voted 42-2 to pass House Bill 1955, which could save Oklahoma residents up to $400 per year, according to Senate Pro Tem Greg Treat. He stated that the "common sense" legislation would save residents an average of five and a half times more than a 0.25% tax cut.

"I think the relief would come late August, which is a quicker relief and a more substantial relief than any other proposal that's been put forth in this body," Treat noted. "Some choose to look at this annual impact of $418 million as revenue loss, and that's fine. We need to make sure we're good stewards of taxpayer dollars, but I ask you to look at it as a $418 million increase in what Oklahomans keep in their pocket to be able to provide groceries for their families."

According to the United States Census Bureau, the average Oklahoma resident spends $300 per month on groceries, KOCO reported. A family of four, who spends approximately $1,200 per month or $14,400 per year on food, could save $648 yearly under the new legislation.

House Speaker Charles McCall (R) applauded the bill's passage.

"With the passage of House Bill 1955, the Legislature has managed to give Oklahomans the largest single-year tax cut in state history, returning $411 million to our citizens at a time when they need it the most," McCall said.

Republican state Senator Roger Thompson spoke out against the bill, calling it a "political move" that will prevent local governments from bringing sales tax increases to a vote until at least June 2025, KOCO reported.

"I've made the statement that it looks better on a bumper sticker and a campaign card then it does in the state budget," Thompson explained. "Because of our history and because of the needs of this state, and because there is a preemptive clause in this that even prohibits my towns, who are struggling, that they cannot pass a sales tax for a year."

With the bill's passage, it heads to the governor's desk, where he is expected to sign it into law.

In a Thursday statement, Stitt said, "Today, we get to fulfill a promise to all four million Oklahomans and pass the largest single year tax cut in Oklahoma history. Cutting the grocery tax means relief for all Oklahomans."

The governor thanked McCall, Treat, the state's house, and the Senate for "fighting for tax cuts."

"I'm going to always fight for limited government and lower taxes, and I will still advocate to get us on path to zero income tax. This is a victory I'm excited to celebrate," Stitt added.

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