As families scramble to prepare for the upcoming school year, Texas parents got a welcome surprise this weekend – no sales tax on select back-to-school essentials. From Saturday, August 5 through Sunday, August 7, the state suspended its 6.25% levy on qualifying classroom items like notebooks, glue sticks, calculators and clothing priced under $100.
Dubbed the “Sales Tax Holiday” by state officials, the temporary tax exemption is aimed at lightening household expenses for parents stocking up on school supplies. Cash-strapped moms and dads crowded local retailers to take advantage of the unusual tax break. Store aisles were filled with shoppers combing through aisles in search of deals on essential classroom gear.
While certain school supplies were tax-free, others like computers, clothing accessories and art supplies were excluded. Tax exemption was also not applicable if an individual item cost more than $100. To help families distinguish between eligible and ineligible products, the state comptroller's office published an exhaustive list of taxable and non-taxable goods online.
This year's Sales Tax Holiday in Texas is estimated to save families an average of $8 for every $100 spent. In total, the three day reprieve from sales tax is projected to return $110 million to households across the Lone Star state. The temporary suspension of levy on select back-to-school items aimed to provide much needed relief to parents tackling steadily rising educational costs.
