Taxes, Sales - As introduced, reduces the rate on the state sales tax on food and food ingredients from 4 percent to 2 percent of the sales price. - Amends TCA Title 67, Chapter 6.

HB 2059 would reduce Tennessee's state sales tax rate on food and food ingredients from 4% to 2%, effective July 1, 2026. This change directly affects grocery stores, restaurants, and other businesses selling food items, as well as consumers purchasing food products. The bill amends Tennessee Code (Title 67, Chapter 6) to lower the tax rate, meaning businesses would collect and remit less tax on qualifying food items. If enacted, this policy change would decrease the tax burden for shoppers on everyday food purchases.