Tennessee House Bill HB1184

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/23
• Refer: 2/2/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 6, Part 3, relative to sales and use tax exemptions.

Impact

The implementation of HB1184 is expected to ease the financial burden on families by eliminating taxes on these critical items. In a state where childcare costs can be a significant expense, this bill may ease some fiscal pressure on parents, allowing them to allocate more resources towards other necessary expenditures. Additionally, the amendment could encourage family growth as it presents a more financially manageable environment for new parents.

Summary

House Bill 1184 proposes amendments to the Tennessee Code Annotated concerning sales and use tax exemptions. Specifically, the bill seeks to exempt from tax the sale or use of infant formula as well as diapers and wipes designed for infants and children. This legislation is aimed at providing financial relief to families with young children by reducing the costs of necessities essential for childcare.

Contention

While the bill addresses a pressing need for tax relief among families with infants, it may also spark discussions about broader tax policies in Tennessee. Supporters view the exemption as a necessary step to support young families and enhance child welfare, while critics might express concerns over the potential loss of revenue from sales taxes, which are essential for funding state services. These points may lead to debates on how the state can balance economic needs with the support of its residents.