Alabama House Bill HJR184

Alabama 2022 Regular Session

• Introduced: 3/17/22
• Refer: 3/17/22

Caption

Legislature, urged to suspend the grocery and gas tax

Impact

If passed, HJR184 would significantly alleviate financial pressures for many Alabama residents, particularly those struggling with food insecurity and rising fuel costs. The suspension of the grocery tax would alleviate one of the few existing tax burdens that families face in Alabama, where grocery items are currently not exempt from sales tax. Additionally, the resolution could contribute to a sense of economic relief as families navigate the ongoing recovery from the pandemic and rising living costs.

Summary

HJR184 urges the Alabama Legislature to suspend both the grocery tax and gas tax in the state. The resolution is a response to the high rates of food insecurity that Alabama faces, ranking fifth highest in the nation, and also addresses the increasing burdens on families due to the gas tax implemented by the 2019 Rebuild Alabama Act. The proponents of the bill assert that both taxes disproportionately affect disadvantaged communities, the working poor, and the middle class, especially as families are still recovering from the economic impacts of the pandemic.

Contention

While the bill seeks to provide immediate assistance to struggling families, there may be points of contention regarding its fiscal implications. Critics might argue that suspending these taxes could lead to reduced funding for essential services that rely on tax revenue, thereby affecting state programs that cater to the needs of all residents. There is also the potential for debate on how long these suspensions would last and whether they would be a permanent change or a temporary relief measure.