Last weekend, I took a leisurely drive along State Line Road. It's a strange feeling in a neighborhood where one side is Missouri and the other is Kansas.

Then I suddenly became curious. Where is it more beneficial to shop these days? I've heard people say, "Kansas has a 0% grocery tax" quite often.

So instead of traveling this time, I went on a receipt exploration. To sum it up, half of what I heard was true and half was not.

First, let me clarify the facts. Kansas gradually reduced its state sales tax on groceries through a law passed in 2022.

It was 6.5% until 2022, then dropped to 4% on January 1, 2023, and 2% in 2024. It will be 0% starting January 1, 2025.

From this, it might seem like there would be no tax at Kansas grocery stores. However, the 0% applies only to the state portion.

The local sales tax imposed by counties and cities remains unchanged. So, the actual receipt still shows a percentage.

For example, the sales tax breakdown is very clearly listed on the Roeland Park city hall website.

The general goods tax is 9.475%, but for groceries, it's 2.975%. The state tax of 6.5% is removed, but the Johnson County portion and city tax of 1.5% still apply.

Interestingly, even within the same city, different stores have different rates. For instance, a Price Chopper in a Transportation Development District (TDD) adds an extra 1%, making the grocery tax 3.975%.

There are also special district taxes like CID that apply to shopping centers. So, not all numbers are the same just because it's Kansas.

What about Missouri? Missouri has always had a lower state tax rate on groceries.

The general goods state tax is 4.225%, but for food consumed at home, it's 1.225%. On top of that, city, county, and special district taxes are added.

In the Kansas City area, the county and special district rates vary by address, making it hard to give a single number. The most accurate way is to check the Missouri Department of Revenue (DOR) website by address.

In the past, comparisons were easier. When Kansas charged a 6.5% state tax on groceries, the difference with Missouri's 1.225% was significant.

But now, the state tax has flipped to 0% in Kansas and 1.225% in Missouri. Ultimately, the local taxes determine the outcome.

For reference, 1% of Missouri's 1.225% is used for public school funding. So, whenever there's talk of eliminating it, concerns about school budgets come up.

So, how much can you save by shopping? The calculation is simpler than you might think.

For a shopping cart totaling $200, a 1% point difference in tax means $2. Even a 3% point difference results in just $6.

Honestly, seeing these numbers was a bit deflating. Considering the round-trip driving time and gas costs, the incentive to cross over isn't as strong as I thought.

Kansas economist Donna Ginther estimated that if the tax were completely eliminated, a family of four would save $500 a year. However, this figure is based on Kansas residents comparing to the original 6.5% tax.

It's also important to know what items are excluded. Alcohol and tobacco are not eligible for the grocery tax exemption, so the 6.5% state tax still applies in Kansas.

Be cautious with restaurant food or prepared meals from delis. These cooked items generally fall under the regular tax rate, so don't expect the 0% benefit.

This year, a bill to eliminate the grocery tax in Missouri was discussed in the state senate committee in February. Reports indicated that city and county officials strongly opposed it due to concerns about revenue loss.

The bill proposed gradual reductions starting in 2027. So, it won't affect this year's grocery shopping.

Similarly, you can check the Kansas Department of Revenue (KDOR) website for local tax rate changes. Special district taxes can come and go, so it's good to check occasionally for peace of mind.

The easiest method I found is to lay receipts side by side. By dividing the tax line from the receipts of two frequently visited stores by the amount spent, you can see the difference right away.

I've decided to do it this way. I won't intentionally cross over to shop, but I will take advantage of shopping in Kansas on days when I have other business there.

If I'm heading to a Korean market for ingredients and it's in Kansas, that's even better. It seems realistic to save a little when the route aligns.

Crossing the state line can feel exciting like a trip, but grocery shopping ultimately comes down to numbers. I won't spend half a day just to save a few dollars.