RESOLUTION NO. RS2005-939

A resolution requesting the Davidson County Delegation to the Tennessee General Assembly to remove the sales tax on food and medicine.

WHEREAS, in June 2002, the Tennessee General Assembly raised the state sales tax rate from six percent to seven percent; and

WHEREAS, Tennessee currently has the highest average sales tax rate of all the fifty states, with over sixty percent of the state's revenue being generated by the sales tax; and

WHEREAS, taxes on the sale of goods place a heavier burden on low and middle income families by taxing what people spend on basic necessities, including food and medicine; and

WHEREAS, statistics show that grocery purchases represent approximately one-fifth of the budget of a family making less than $20,000 a year, but only represent one-twenty-fifth of a family's budget making $70,000 or more; and

WHEREAS, the majority of states exempt food purchases from the sales tax; and

WHEREAS, it is in the best interest of the citizens of Nashville and Davidson County that the sales tax be removed from groceries and medicine.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. That the Metropolitan County Council hereby goes on record as requesting the Davidson County Delegation to the Tennessee General Assembly to remove the sales tax on food and medicine.

Section 2. That the Metropolitan Clerk is directed to send a copy of this Resolution to each member of the Davidson County Delegation to the Tennessee General Assembly.

Section 3. That this Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Brenda Gilmore

LEGISLATIVE HISTORY

Referred: Budget & Finance Committee 
Introduced: August 16, 2005
Deferred: August 16, 2005
Adopted: September 20, 2005
Returned Unsigned by Mayor: September 22, 2005