Summary
Several U.S. states are having tax-free holidays to help families save on back-to-school shopping during a time of rising costs. These holidays allow consumers to buy certain items like clothing and school supplies without paying sales tax. Retailers are participating by freezing or lowering prices to attract shoppers.
Key Facts
- Nine states are starting tax-free holidays to help families save on school-related purchases.
- Alabama, Mississippi, New Mexico, and Tennessee had their tax holidays in July.
- Tariffs on imports from China are expected to raise prices by 12–15% this season.
- Both in-store and online purchases can be tax-exempt during these holidays, with certain exclusions.
- Arkansas holds its tax-free weekend the first weekend of August, focusing on clothing, shoes, and school supplies.
- Florida offers a monthlong tax break in August, including on clothing, supplies, computers, and puzzles.
- Ohio has extended its sales tax holiday to two weeks, ending on August 14.
- Other states like Missouri, Iowa, South Carolina, and Virginia also have similar tax-free events during this period.
