HB21-1177 Summary

• Adds use tax exemptions to match existing sales tax exemptions for food purchased with food stamps, defined per 7 U.S.C. Section 2012 as of October 1, 1987 or as thereafter amended.

• Extends use tax exemptions to food purchased with funds from the Special Supplemental Food Program for Women, Infants, and Children (WIC), defined per 42 U.S.C. Section 1786 as of October 1, 1987 or as thereafter amended.

• Adds use tax exemptions for aircraft, drugs, medical and therapeutic devices, charitable organization purchases, school-related purchases, and retail marijuana when those items are exempt from sales tax.

• Makes use tax treatment consistent with sales tax treatment for specified categories to align with fundamental principles of sales and use tax law.

• Takes effect 12:01 a.m. on the day following the 90-day period after final adjournment of the general assembly, unless subject to referendum petition approved by voters in November 2022.