To how do states typically mitigate the regressive nature of sales tax?

States often mitigate the regressive nature of sales tax by excluding certain items like groceries and prescriptions from taxation. Sales taxes tend to be regressive because they take a larger percentage of income from low-income individuals compared to high-income individuals. By exempting essential goods and services, states aim to lessen the financial burden on lower-income households who spend a higher proportion of their income on these necessities. This approach helps ensure that those who may struggle more with basic living costs are not disproportionately affected by sales tax, thereby promoting a fairer tax system. Other strategies, such as implementing higher rates for wealthier individuals or having no exemptions at all, would not address the fundamental issue of sales taxes disproportionately impacting lower-income populations.