Two tax breaks passed by the Alabama Legislature and signed by Gov. Kay Ivey this year take effect today.
Starting today, Alabama’s state sales tax on food drops by one percentage point -- from 3% to 2%.
Also starting today, Alabama will stop collecting the state sales tax on diapers and other baby products.
Here is a look at how those tax breaks will affect Alabama consumers:
Sales tax on food
The reduction is expected to save consumers about $122 million a year.
Local sales taxes on food will not be affected.
But the bill did make it easier for cities and counties to reduce their sales tax on food if they choose.
It removed a restriction that said local governments could only cut their tax if their revenues grew at least 2% over the previous year.
The latest cut in the state sa