A Back-to-School Break
As we end the near of July, back-to-school season is steadily approaching. If you have read some of our previous blogs you will have seen various ways how people with children can get various tax credits and deductions and we are back with another way that not many people may know about; Back-To-School Sales Tax Holiday.
Throughout the country, a plethora of states participate in a sales tax holiday for the back-to-school season. A sales tax holiday is a short-term exemption from state sales tax on certain items. This can be done either over one day, a weekend, a week, or longer. According to the National Retail Federation, 80% of shoppers expect higher prices this year. Forbes. This is most likely due to the ever-altering inflation that we have been experiencing nationwide.
So what states are having a back-to-school sales tax holiday? The list includes Alabama (July 21-23), Arkansas (August 5-6), Connecticut (August 20-26), Iowa (August 4-5), Maryland (August 13-19), Mississippi (July 28-29), Missouri (August 4-6), New Jersey (August 26-September 4), New Mexico (August 4-6), Ohio (August 4-6), Oklahoma (August 4-6), South Carolina (August 4-6), Tennessee (July 28-30), Texas (August 11-13), West Virginia (August 4-7).
It is important to note that the exemptions are not the same for each of these states, nor do they include any item possible that one could buy from a store; sometimes not even all counties within a state will participate. For example, in Missouri exemptions apply to purchases of clothing ($100 or less per item), school supplies ($50 or less per purchase), computer software ($350 or less), personal computers ($1,500 or less), and graphing calculators ($150 or less). Alternatively, in Connecticut, exemptions apply to purchases of clothing or footwear ($100 or less per item) and exclude clothing accessories protective or athletic clothing, and certain shoes. Make sure to check what specifically you can get tax-free from your state before going out and double check you are going on the right day. Happy shopping!
For help on different tax credits or deductions you may be eligible for, please reach out to the Professionals at The Center for Financial, Legal, & Tax Planning Inc., at 618-997-3436.