HB 22-1062: Food Sales Tax Exemption Expansion

• Expands Colorado's sales and use tax exemption for food to include prepared food and beverages served at restaurants, grocery stores, and other establishments for on-site or takeout consumption.

• Redefines "food" to include drink intended solely or primarily for human consumption, while excluding alcohol beverages as defined in statute.

• Removes the current exemption distinction between food for domestic home consumption and prepared food, creating a unified exemption for all food except alcoholic beverages.

• Repeals previous exemptions for food stamp purchases and WIC program purchases, consolidating exemptions under a single definition of "food."

• Takes effect January 1, 2023, subject to voter approval if a referendum petition is filed within 90 days after legislative adjournment.