Local Government - Excise Tax on Plastic and Paper Carryout Bags

HB 1056 requires counties that impose a minimum fee for plastic or paper carryout bags to tax any amount retailers charge above that minimum. For example, if a county sets a $0.05 minimum fee and a retailer charges $0.10, the county would tax the extra $0.05. The tax revenue splits equally: one-third stays with the county, one-third goes to the state general fund, and one-third remains with the retailer to cover administrative costs. The bill takes effect July 1, 2025, and directly affects counties with bag fee laws, local retailers, and state/county budgets.