As Arkansas rings in the new year, a slate of new state laws will take effect on Jan. 1, 2026, bringing changes that impact taxes, health care coverage, employment requirements, education, and public safety.
More than a dozen measures approved by lawmakers during the most recent legislative session were written to take effect at the start of the calendar year, while others became law earlier in 2025.
One of the most widely felt changes comes through Act 1008, which removes the state’s remaining 0.125% sales tax on groceries. While local sales taxes will still apply, the elimination of the state tax is expected to provide ongoing savings for Arkansas households.
“By exempting food and food ingredients from the state sales and use tax, lawmakers took a meaningful step to lower the cost of everyday necessities for families across Arkansas,” the Arkansas House said in a statement. “Because groceries are a recurring expense for every household, removing the state tax provides ongoing relief that can make a real difference in monthly budgets.”
Several new laws also expand or modify tax exemptions and incentives. Act 880 allows property owned by a trust or limited liability company to qualify as a homestead for purposes of property tax exemptions for disabled veterans, as well as certain surviving spouses and minor children. Act 881 creates an income tax credit designed to attract corporations to relocate their headquarters to Arkansas, with additional incentives available through the Arkansas Economic Development Commission.
Health care coverage requirements will also change under multiple new laws. Act 628 mandates insurance coverage for treatment of diseases and conditions caused by severe obesity for adults 18 and older, though it excludes injectable drugs used for glucose control or weight loss. Other measures expand required coverage for breast reconstruction surgeries (Act 624), lung cancer screenings (Act 390), breastfeeding and lactation services (Act 627), and deliveries at licensed birthing centers (Act 866).
Additional laws taking effect Jan. 1 include:
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Act 948, which bans state entities from hiring unauthorized immigrants.
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Act 631, allowing SNAP recipients to meet work requirements through volunteer service at state-funded organizations.
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Act 875, which raises the disability onset age from 26 to 46 for eligibility under the Achieving a Better Life Experience (ABLE) savings program.
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Act 621, creating a farmer sales tax identification card to simplify tax exemptions for eligible farmers.
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Act 497, exempting vehicles used exclusively for public charities from property taxes.
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Act 427, authorizing grants to assist property owners and nonprofits with recovery from catastrophic wind events.
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Act 708, requiring unemployment benefit recipients to report at least five weekly job search contacts.
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Act 748, allowing law enforcement agencies to seek reimbursement for officer training costs when officers are hired away within two years.
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Act 929, requiring colleges and universities to use a “.edu” domain unless specific exceptions apply.
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Act 147, authorizing blood type designations on Arkansas driver’s licenses and identification cards.
