Alabama Groceries, Baby Products, Feminine Hygiene Products Exempt From State Tax

Beginning Sept. 1, 2025, in Alabama state sales tax will be reduced on food to two percent down from four percent.

The new law also sets provisions for county or municipal governing bodies to reduce their sales and use tax on food.

Additionally, the law removes state sales and use tax for purchases of certain baby supplies, baby formula, maternity clothing, and menstrual hygiene products and to allow local governments to adopt exemptions for these items as well.

“This is a big win for Alabama’s working families,” said Rep. Neil Rafferty (D-Birmingham), the sponsor of the bill HB152, wrote on social media.

However, the law is only temporary and will be reevaluated by the legislature before August 31, 2028, to see if they feel the law needs to be extended.

Phenix City resident Kiara Thomas is the mother of a 19-month-old baby boy. She said she appreciates the discount, but with prices increasing, she does not believe she will see the impact.

“I feel like it’s hard to get a read on what things are already costing and the different changes going on because of the tariffs and inflation,” said Thomas. “I try to keep my mind off of the price fluctuation and how much things cost because at the end the day you are still going to need it.”

She said saving $0.50 on something that has increased by $2.50 negates the discount.

“I appreciate every little penny, but I know I probably will not notice it because of how much prices on food and other stuff have increased,” she said, adding that she mostly focuses on getting the best value for her money. “I buy whatever is comfortable for him, as long as the price matches up to the quantity and the quality.

The bill was signed by Alabama Gov. Kay Ivey on the Friday before Mothers’ Day.

“Alabama is proudly the most pro-life state in America, and we remain committed to doing all we can to support our moms. As we head into Mother’s Day weekend, I am excited to sign HB152 for all of our Alabama moms,” said Ivey.

The tax exemption shall not apply to county or municipal sales or use taxes unless approved by resolution or ordinance adopted by the local governing body.