What is a Sales Tax Holiday?
It’s a limited period where a state allows sales tax to be waived on certain categories of items, such as education essentials. Think of it as a vacation from taxes… but only for a few days. Sales tax holidays can occur at any time of year, but the most popular time for them is in July and August. This is when back-to-school sales tax holidays take place in advance of the upcoming school year.
Benefits of Sales Tax Holidays
The goal of sales tax holidays is to encourage spending to boost the local economy. A sales tax holiday is also a way to ensure ongoing economic growth by keeping purchasing in-state rather than consumers or companies seeking lower cost alternatives in bordering areas that may have lower tax rates. They’re also a way to lure shoppers from nearby states who may not participate in sales tax holidays. So, there are many financial advantages for states to offer these types of annual tax incentives.
The benefits for businesses are vast, too. A sales tax holiday allows institutions to maximize their budgets by getting more supplies for the money to ensure they have everything they need for their faculty and students. It also helps schools make the best use of their grants, which expire if they don’t allocate all the funds by the deadline. Additionally, tax-free weekends can offset inflation by buying items tax-free now that may have much higher price tags later. This will enhance your bottom line by keeping your cash flow healthy.
2023 Sales Tax Holidays by State
You’re probably wondering if your state offers this type of annual tax exemption. Not all states participate, so check out the chart below to see if a sales tax holiday is offered in your area, and what the spending limits for each category are. This list is specific to back-to-school items, and some purchases may be non-commercial. For additional details, consult your state’s complete tax exemption list on their official website.
| State | Dates | Categories & Limits | Official Website Info |
|---|---|---|---|
| Alabama | July 21-23 | School Supplies – $50 max Computers – $750 max | Alabama Sales Tax Holidays |
| Arkansas | August 5-6 | School Supplies – no max | Arkansas Sales Tax Holidays |
| Missouri | August 4-6 | School Supplies – $50 max | Back-to-School Sales Tax Holiday |
| New Jersey | August 26-September 4 | School and Art Supplies – no max Computers – $3,000 max Instruction Materials – no max | New Jersey Sales Tax Holidays |
| New Mexico | August 4-6 | Computers – $1,000 max Computer Equipment – $500 max School Supplies – $30 max | New Mexico Sales Tax Holidays |
| Ohio | August 4-6 | School Supplies – $20 max | Ohio Sales Tax Holidays |
| South Carolina | August 4-6 | Computers – no max School Supplies – no max | South Caroline Sales Tax Holidays |
| Tennessee | July 28-30 | School Supplies – $100 max Computers – $1,500 max | Tennessee Sales Tax Holidays |
| Texas | August 11-13 | Backpacks – $100 max School Supplies – $100 max | Texas Sales Tax Holidays |
| West Virginia | August 4-7 | School Supplies – $20 max Sports Equipment – $150 max Computer or Tablet – $500 max | West Virginia Sales Tax Holidays |
Shop your State’s Tax-Free Holidays with Quill.com
The types of products exempt during state tax holidays vary by each individual state, but typically include the essentials an educational institution would need for their classrooms. The categories are as follows, but be sure to visit your state’s official taxation website for the most up-to-date information.
Take advantage of your state’s sales tax holiday, along with Quill’s everyday low prices plus added savings when you buy in bulk, to maximize your budget so your school – and your students – can flourish. We have an extensive selection of learning tools, teaching supplies, and education essentials you need for your classroom plus faculty, cleaning, and breakroom supplies.
School Supplies
- Binders and composition books
- Blackboard chalk
- Backpacks
- Calculators
- Crayons
- Folders (expandable, pocket, plastic, and manila)
- Glue, paste, and paste sticks
- Index cards and boxes
- Lunch boxes
- Markers and Highlighters
- Notebooks, legal pads, and writing tablets
- Paper (colored, construction, copy, graph, loose leaf ruled notebook, manila, and tracing papers and poster board)
- Pens, Pencils, Pencil sharpeners, erasers, pencil boxes and other school supply boxes
- Rulers
- Scissors
Computers and Supplies
- Laptops, desktops, or tower computer systems which consist of a central processing unit (CPU).
- Devices such as a display monitor, keyboard, mouse, and speakers sold as a computer package.
Note that computer parts and devices not sold as part of a package with the CPU do not qualify for the exemption.
Computer Software
- Computer storage media; diskettes, compact disks
- Handheld electronic schedulers, except devices that are cellular phones
- Personal digital assistants, except devices that are cellular phones
- Computer printers
- Printer supplies for computers (printer paper, printer ink)
Whether you’re stocking up on paper, seeking the latest laptops, tablets, or computer accessories, or adding to your outdoor activities and arts and crafts, we’ve got you covered. Best of all, you’ll earn instant rewards on every tax-free dollar you spend. At Quill, we believe your success is our success. Shop now and we’ll help you get there.