“State lawmakers will consider a bill in the upcoming session that proposes reducing the sales tax on food from 5.5 percent to 4.5 percent. The last tax cut took effect a year ago, when the then-6 percent rate was decreased. The average Tennessee family of four pays about $370 annually in sales taxes on food, the state Department of Revenue says. … While cutting the sales tax on food would mean more money for families, it also would mean less money for state government, which faces a possible $1 billion shortfall in its budget. Gov. Phil Bredesen opposed the last reduction, passed in 2007; he’s no more on board this time around. Bredesen wants to allot available resources to improve education and create jobs by attracting new businesses and expanding current ones.” (01/05/09)