HB2565 Summary

• Reduces state sales tax rate from 6.25% to 1% on internal (female) and male condoms, incontinence products, diapers, and baby wipes.

• Net revenue from the 1% tax on these products shall be deposited into the State and Local Sales Tax Reform Fund.

• Makes conforming changes to the Use Tax Act, Service Occupation Tax Act, and Service Occupation Use Tax Act to apply the same 1% reduced rate to these products.