How to Save During Tax-Free Weekend

How to Save During Tax-Free Weekend

July 28, 2021
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Tax free sales present an opportunity for residents of 17 (mostly Southern) states to purchase clothes, shoes, electronics, and even firearms or ammunition without paying a penny in sales tax.1 But because these sale dates usually only last a weekend, it’s important to do your homework so that you can plan your purchases to save the most money. Below are some tips and tricks to help you save during tax free weekend.

Learn your Savings Categories

Each state has its own restrictions and classifications on the purchases that will be tax free.2 Before you head out to the stores, take a quick look at your sales limits:

Alabama

  • Clothing up to $100
  • Computers up to $750
  • School supplies up to $50
  • Books up to $30

Arkansas

  • Clothing up to $100
  • School supplies

Connecticut

  • Clothing and footwear up to $100

Florida

  • Clothing up to $60
  • Computers up to $1,000
  • School supplies up to $15
  • Disaster preparedness supplies

Iowa

  • Clothing up to $100

Maryland

  • Clothing and footwear up to $100

Massachusetts

  • All products (with some restrictions) up to $2,500

Mississippi

  • Clothing and footwear up to $100
  • Firearms, ammunition, and hunting supplies

Missouri

  • Clothing up to $100
  • Computers up to $1,500
  • School supplies up to $50

New Mexico

  • Clothing up to $100
  • Computers up to $1,000
  • Computer equipment up to $500
  • School supplies up to $50

Ohio

  • Clothing up to $75
  • School supplies up to $20

Oklahoma

  • Clothing up to $100

South Carolina

  • Clothing, school supplies, computers, and other items

Tennessee

  • Clothing up to $100
  • School supplies up to $100
  • Computers up to $1,500

Texas

  • Clothing, backpacks, and school supplies up to $100

Virginia

  • Clothing up to $100
  • School supplies up to $20
  • Energy Star products up to $2,500
  • Hurricane preparedness items up to $50
  • Generators up to $1,000

West Virginia

  • Clothing up to $125
  • School supplies up to $20
  • Sports equipment up to $150
  • Computers or tablets up to $500

Make a List

Once you have your savings categories, it's time to make a list. Tax-free weekends often include back-to-school items like clothing, shoes, and electronics, which is one reason they tend to be held in July and August. It's a good idea to do your back-to-school shopping this weekend to save as much as possible.

Keep an Eye on Prices

Although you can still find some sales and clearance items during tax free weekend, other prices may be higher than normal.3 It's a good idea to check out the prices on the items you're looking for a week or two before the tax-free weekend just so you can make sure you're getting the best possible deal. After all, saving 10% in sales tax on a $1,500 computer may seem like a good idea—unless you saw the same computer on sale for $1,250 the prior week.


Sources

https://slate.com/business/2015/08/back-to-school-tax-holidays-theyre-tempting-and-theyre-worthless.html

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