Most holidays cost us money, but this is one holiday that is all about saving money. We’re talking about sales tax holidays. This is a celebration in savings that many states have started hosting around the back to school season.
The bulk of tax holidays are happening this weekend (Alabama, Arkansas, Florida, Georgia, Iowa, Lousiana, Missouri, New Mexico, Oklahoma, South Carolina, Tennessee and Virginia). You can also enjoy tax savings later this month in Connecticut, Maryland, Texas and Massachusetts.
Mississippi’s tax holiday was last weekend, so we hope you were able to score some great clothing and footwear items at that time. Of course, a handful of states have no sales tax year-round (Alaska, Delaware, Montana, New Hampshire and Oregon).
Tax breaks may apply to clothing, school supplies and computers, but specific rules vary by state. In Florida, from August 1-3, you can enjoy tax-free purchases on clothing items under $100 each, school supplies under $15 each, and on the first $750 of a computer’s sale price. But over in Iowa the tax-free purchases are only on clothing items under $100. And these deals mainly pertain to in-store purchases and not online shopping. Be sure you’re familiar with your state’s rules before you shop.
Before you shop: When you cut out the taxes completely, savings can be substantial, so it makes sense to plan your shopping around a tax holiday. If you live close to the border of one of these states (like in North Carolina or Kentucky, for instance), you may even want to take a shopping road trip.