Amends Constitution. Currently, state/local governments may enact/amend taxes/fees on grocery sales, including state corporate minimum tax, local taxes. Measure prohibits state/local governments from adopting, approving or enacting, on or after October 1, 2017, any “tax, fee, or other assessment” on sale/distribution/purchase/receipt of, or for privilege of selling/distributing, “groceries”, by individuals/entities regulated by designated food safety agencies, including restaurants, or operating as farm stand/farmers market/food bank. Measure prohibits “sales tax, gross receipts tax, commercial activity tax, value-added tax, excise tax, privilege tax, and any other similar tax on sale of groceries.” “Groceries” defined as “any raw or processed food or beverage intended for human consumption.” Alcoholic beverages, marijuana products, tobacco products exempted. Other provisions.
KEEPING GROCERIES TAX FREE
SECTION 16. (1) Subject to the limitations in subsection (4) herein, the state and a city county, district or other political subdivision or municipal corporation of this state may not adopt, collect, enact, or impose a tax, fee, or other assessment upon the sale or distribution of groceries or for the privilege of selling or distributing groceries.
(2) Nothing in subsection (l) of this section limits the authority to adopt, collect, enact, or impose:
(a) A tax, fee, or other assessment on or measured by
(A) The sale of alcoholic beverages, marijuana products, or tobacco products
(B) Net income of an individual or entity.
(b) A fee or other assessment to operate the State Department of Agriculture's Food Safety Program or Commodity inspection Program or any successor agency or program that provides for the safety of groceries.
DEFINITIONS
3) As used in this section:
(a) "Groceries" means any raw or processed food or beverage intended for human consumption except alcoholic beverages, marijuana products, and tobacco product
(b) "Sale or distribution of groceries" means any transaction for the sale, purchase distribution, or transfer of groceries sold, distributed, transferred to, or purchased or received from, any individual or entity that
(A) Is licensed, registered or inspected under the Food Safety Modernization Act, U.S. Food and Drug Administration, U.S. Department of Agriculture Federal Grain Inspection Service, or any successor agency or program that provides for the safety of groceries: or
(B) ls licensed and inspected by the State Department of Agriculture's Food Safety Program or Commodity Inspection Program or any successor agency or program that provides for the safety of groceries: or
(C) Operates as a farm stand, farmers market, or food bank.
(c) "Tax, fee, or other assessment" includes, but is not limited to, a sales tax, gross receipts tax, commercial activity tax value-added tax, excise tax, privilege tax, and any other similar tax on the sale of groceries.
(d) "Alcoholic beverage" means any liquid or solid containing more than one-half of one percent alcohol by volume and capable of being consumed by a human being.
(e) "Marijuana product" means a product made from any part of the plant Cannabis family Cannabaceae or the seeds of the plant Cannabis family Cannabaceae
(f) "Tobacco products" means cigars, cigarettes, cheroots, stogies, periques, granulated, plug cut, crimp cut, ready rubbed, and other smoking tobacco, snuff, snuff flour, moist snuff, cavendish, plug and twist tobacco, fine-cut and other chewing tobaccos, shorts, refuse scraps, clippings, cuttings and sweepings of tobacco, and other kinds and forms of tobacco prepared in such manner as to be suitable for chewing or smoking in a pipe or otherwise, or both for chewing and smoking.
IMPLEMENTATION
(4) The prohibition on the imposition and collection of a tax fee, or other assessment, including but not limited to a corporate minimum tax, on the sale or distribution of groceries by subsection (1) of this section applies only to state and local enactments relating to taxes, fees, or other assessments adopted, approved, or enacted on or after October 1, 2017.
(5) It is the intent of the people that all parts of this amendment are independent and that if any part of this amendment is held unconstitutional all remaining parts shall remain in force.