April 25, 2026

Alabama Groceries Will Be a Bit Cheaper During the Next Two Months

By Isabella Gomez
Blue RAM Media/Gulf Coast News

April 25, 2026

FOLEY, Ala. Your food costs in Alabama will be a bit less during the next two months because of a tax reprieve that Gov. Ivey recently signed into law.

Governor Kay Ivey has signed legislation that will suspend the state’s portion of the grocery tax from May 1 to June 30, 2026.

The state sales tax for groceries is 2%.

You may remember that in 2022, the state sales tax was lowered from 4% to 3%. In 2024, the tax was lowered again by another percentage point to 2%.

But nationwide, Alabama remains one of only ten states in the country that rely on sales taxes. And in recent years, debates in those states have argued that “food” should not be taxed at all.

The legislation was sponsored by Rep. James Lomax and Sen. Arthur Orr.

“I am also glad we were able to put a two month pause on the state’s portion of the grocery tax to help families across Alabama. Any time we can responsibly provide some relief for the hardworking people in our state, I am all for it.”

Lowering the state’s grocery tax has been a priority for the state for the Alabama Legislature. This is the third piece of legislation signed into law lowering state sales taxes in the last four years.

Will the legislators finally vote to completely remove sales taxes from food in the future?
Hopefully they will but until then, let’s enjoy the break for the next two months

In addition to the sales tax pause, the bill Governor Ivey approved also extended the income tax deduction for overtime compensation until 2028.