Tennessee Senate Bill SB1835

Tennessee 2025-2026 Regular Session

• Introduced: 1/21/26

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 6, relative to food and food ingredients.

Summary

SB1835 reduces the state sales tax rate applied to food and food ingredients under Tennessee Code Annotated, Section 67-6-228(a). The bill changes the current 4% rate to 2%, which would lower the state tax burden on qualifying grocery and food purchases. The measure is framed as an amendment to Title 67, Chapter 6, and it applies specifically to food and food ingredients rather than to all taxable goods. The bill takes effect on July 1, 2026, and would amend Tennessee’s tax code to provide a reduced tax rate for everyday food purchases. Because it targets a basic necessity, the bill is likely intended to ease consumer costs and provide relief to households across the state, especially those most affected by rising food prices.

Impact

If enacted, SB1835 would directly amend Tennessee’s sales tax statute for food and food ingredients by lowering the state rate from 4% to 2%. This would reduce state tax revenue collected on eligible food purchases and lower the amount paid by consumers at the point of sale. Retailers that sell qualifying food items would need to apply the new rate beginning July 1, 2026, and the change would affect the administration of Tennessee’s general sales tax law in Title 67, Chapter 6.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or formal support/opposition in the available record. Based on the bill’s subject matter, the measure appears consumer-relief oriented and likely to be viewed favorably by those seeking lower grocery costs, while potentially drawing concern from those focused on state revenue impacts. The available materials do not show any documented amendments, committee objections, or vote outcomes.

Contention

The main point of contention would likely be the tradeoff between lowering taxes on food and reducing state revenue. Supporters would likely emphasize affordability and tax relief for households, while opponents or fiscal skeptics could question the budget impact and whether the state can absorb the loss in sales tax collections. Because no transcripts or votes are included, no specific legislator, committee, or stakeholder position can be identified from the record provided.