Diaper Tax

As of June 5, 2022, twenty-nine states currently charge sales tax on diapers. This diaper tax can be as low as 4% or as high as 7% in Mississippi and Tennessee. In many states, cities and counties can add additional tax.

Children require at least 50 diaper changes per week or 200 diaper changes per month. By reducing the sales tax, families can buy 2 additional diapers for every percentage point reduction in the sales tax for the same money they would have used to buy 200 diapers with tax.

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Diaper Tax Achievements

1981

Minnesota – In 1981, Minnesota exempted all health products from state sales tax. They became the first state to end the diaper tax.

1989

New Jersey– New Jersey exempted diapers 40 years ago through the New Jersey Sales Tax Shopper’s Guide for Grocery, Drugs, and Household Items. Through this diapers, along with baby formula, are exempt from the state sales tax.

1991

Pennsylvania – Pennsylvania has not taxed diaper since 1991. They fall under ‘paper goods’ in the state tax code and are not taxed similar to toilet paper, period products and other material basic necessities.

2006

New York – New York exempted diapers from state sales tax April 1, 2006. In July 2022, New York exempted diapers from local taxes too. In 2022, the legislature, through Senate Bill 8033, decided to work to exempt diapers from local sales tax to ensure families are paying no taxes on diapers in New York and that bill was signed on July 19, 2022, making diapers exempt from all sales taxes effective.

2013

Massachusetts– In 2013, Massachusetts Surgeon General reclassified diapers as medical devices making them tax free.

2016

Connecticut– Diapers became exempt from sales tax in 2016 through a large revenue bill that exempted both diapers and period products, and became effective July 1, 2018.

2019

California– California initially exempted diapers from sales tax for 2 years beginning in 2020. Through the Budget Act of 2021 California officially exempted diapers from sales tax for good and the bill took effect immediately in July 2021.

2021

Louisiana – Louisiana Governor John Bel Edwards signed a bill making diapers tax free in June 2021. The bill went into effect July 1, 2022.

2022

Maryland – Maryland exempted diapers in May 2022. It went into effect July 1, 2022.

Florida – Florida passed a bill to create a one year sales tax holiday for diapers and other basic necessities. The bill went into effect July 1, 2022, and the sale tax will be reinstated on June 30, 2023.

Colorado – Colorado passed a bill to end the diaper tax in June 2022. The bill went into effect on August 10, 2022.

Iowa –  In June 2022, Iowa exempted diapers from sales tax. The bill will go into effect January 1, 2023.

Virginia – In 2019, Virginia classified diapers as necessities similar to food and dropped the tax rate to 1.5% instead of 7%. In July 2022, they removed the sales tax on essentials. The bill will go into effect on January 1, 2023.

Indiana – Indiana passed a temporary sales tax holiday in August of 2022. The holiday will expire on July 1, 2023.