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Tennessee groceries will be tax free for the entire month of August

Tennesseans will be able to purchase food and food ingredients without paying sales tax for the entire month of August.

This year’s state budget allocates for the entire month to be exempt from state sales tax at the grocery store. The holiday begins at 12:01 a.m. Monday, Aug. 1 and ends at 11:59 p.m. on Wednesday, Aug. 31.

During this period, food and food ingredients may be purchased tax free. Food and food ingredients purchased from a micro market or vending machine remain subject to sales tax.

Food and food ingredients are defined as liquid, concentrated, solid, frozen, dried or dehydrated substances that are sold to be ingested or chewed by humans and are consumed for their taste or nutritional value. Food ingredients do NOT include alcoholic beverages, tobacco, candy, dietary supplements or prepared food.

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The most common example of a dealer selling food and food ingredients is a grocery store. Food and food ingredients are those items otherwise taxed at 4% state sales tax plus the applicable local rate.

Local sales tax will still apply.

OTHER SALES TAX HOLIDAYS

Tennessee’s traditional sales tax holiday on clothing, school supplies and computers begins at 12:01 a.m. on Friday, July 29, 2022, and ends at 11:59 p.m. on Sunday, July 31, 2022

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For 2022-2023, the Tennessee General Assembly has approved a sales tax holiday on gun safes and safety devices that begins at 12:01 a.m. on July 1, 2022 and ends at 11:59 p.m. on June 30, 2023

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