Grocery bills will drop after ongoing sales tax cut

TOPEKA (KSNT) - Kansans can expect to see a lower grocery bill starting Monday.

For the second year in a row, taxes on food items at grocery stores will go down 2%. This is part of the "Axe the Food Tax" legislation Governor Laura Kelly signed in 2022. Starting Jan. 1, the state sales tax on groceries will go from 4% down to 2%.

One local grocery store manager told 27 News this tax reduction won't be applied to all of items.

"It'll just be grocery items only, it's gotta be edible grocery items, but it'll help a lot," Seabrook Apple Market Manager Terry Fleer said. "I mean, everybody's always wanting to save money, and this is another way to save money."

The state anticipates this tax cut will save shoppers $12.5 million per month next year. The "Axe the Food Tax" legislation is working to eliminate sales tax on groceries completely by 2025.

Here’s a look at how much you’ll save on everyday items; a gallon of milk will go down by about nine cents. You’ll save six cents for every loaf of bread, and you’ll save about 10 cents on a pound of ground beef.

If you’re spending $400 a month on groceries, you’ll save $8 in tax. The 2% tax savings also comes at a time when groceries are about 2% higher than last year.