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Senate advances sales-tax rollback amendment, debate centers on whether restoring food tax is regressive

Utah State Senate · February 25, 2011
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Summary

Senate debate on SB270 (state sales tax rate adjustment and restoring tax on food) produced sharp disagreement: sponsors said restoring food tax increases stability for state revenues while opponents said it would raise costs for most families and hit low-income households hardest.

The Utah Senate took up a major tax-policy proposal Feb. 25 that would adjust the state general sales tax and restore taxation of food purchased at retail.

Senator Adams, sponsor of the amendment to Senate Bill 270, said he sought revenue stability for the state’s general fund and described the change as revenue-neutral after his amendment reduced the state rate from 4.7% to 4.38%. "We do not have a 3 legged stool in the state of Utah as far as tax policy for a…

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