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Subcommittee shelves bill to align vending‑machine tax with grocery tax
Summary
House Bill 13‑62, which would set vending‑machine sales tax at the same 1% rate applied to groceries, was laid on the table after testimony from vending operators and localities and concerns about fiscal impact and whether savings would reach consumers.
House Bill 13‑62, described by its patron as a housekeeping measure to align vending‑machine taxation with grocery tax rates, was laid on the table by the subcommittee after questions and public comment.
Delegate Sally McNamara said vending‑machine products are subject to a different code section and that parity with grocery tax (1%) would be fair because identical prepackaged products can be taxed differently depending on point of sale. She noted a modest fiscal impact in the low‑millions.
Supporters from the National Automatic Merchandising Association and local vending operators testified that parity is a fairness issue for small businesses and that vending operators compete on tight margins. Scott Halloran illustrated how vending prices include tax while many retailers add tax on top of posted prices. Locality representatives and members raised questions about whether lower vendor costs would be passed to consumers and how local sales/use rules interact.
After questions and debate, the committee moved to lay HB13‑62 on the table; the clerk recorded that the bill was laid on the table (transcript: 'laid on the table by a vote to 72').
Next steps: With the bill tabled, proponents may refile or pursue technical changes in future sessions.
