Is there sales tax on groceries in Arizona?
Quick answer
No. Groceries bought for home preparation are exempt from Arizona state sales tax. Prepared and restaurant food is still taxable.
Food for home consumption is exempt from the state transaction privilege tax. Cities were required to end their local grocery tax as of 2025.
Rule summary
How Arizona treats each category.
| Grocery food (home consumption) | Exempt from state sales tax |
|---|---|
| Prepared and restaurant food | Taxable at the full combined rate (7.8%–8.7%) |
| Candy and soft drinks | Usually taxable even where groceries are exempt |
| Prescription medicine | Exempt |
Source: Arizona Department of Revenue · rates as published for 2026
This page summarizes the general rule. Every state writes exceptions for specific products, and local jurisdictions can differ from the state treatment. Confirm your situation with the Arizona Department of Revenue or a tax professional before relying on it for filing.
Combined rates in Arizona
What a taxable purchase actually costs in Arizona.
Frequently asked
Answers pulled from the same rule set.
- Is there sales tax on groceries in Arizona?
- No. Groceries bought for home preparation are exempt from Arizona state sales tax. Prepared and restaurant food is still taxable.
- Is prepared food taxed differently than groceries in Arizona?
- Yes. Arizona treats hot, ready-to-eat and restaurant food as a taxable retail sale even where unprepared grocery food is exempt or reduced.
- Are prescription drugs taxable in Arizona?
- No. Prescription medicine is exempt from sales tax in Arizona.
More Arizona guides
Other Arizona rules that change the total.