Proposition 316: Limit Local Tax Rate on Groceries to 2% of Base Price and Require Voter Approval to Increase Tax Rate Measure

Caps municipal sales taxes on food for home consumption at 2% and requires voter approval for new or increased food taxes; cities and towns already above 2% are frozen at their current rate rather than rolled back. The Arizona League of Cities and Towns calls Prop 316 a “meaningful compromise” on food taxes, that would allow cities and towns to “retain their existing resources, so city services are not negatively impacted.”