Legislator wants gradual repeal of food sales tax State Representative Ron Williamson (R-Dist. 10) plans to introduce legislation which would phase out the sales tax on food a penny at a time over four years.
It has been estimated that the revenue from the tax on food raises $40 million so that over four years the tax would decrease by about $10 million each year.
"Taking away $40 million immediately would be irresponsible, however $10 million per year is a responsible approach and can be managed with growth in the economy," said Williamson.
The repeal of the food tax would be beneficial to families with children. South Dakota should be a family-friendly state and this would encourage young families to stay and work in our state.
The repeal would be across the board for everyone and would put money in the pockets of every South Dakotan to save or spend. This tax cut would be a big boost over time to the economy.
"We should act next session to remove the first penny from the food tax as the beginning of the phase out of the entire levy. The repeal over time is the right and responsible approach."
It will benefit families and provide an over $40 million tax cut for everyone, which benefits the economy," Williamson said.