Millions in the U.S. are gearing up for a major shopping weekend this back-to-school season. Several states offer temporary sales tax suspensions on eligible items, saving money on school essentials. Missouri, Ohio, Oklahoma, South Carolina, Texas, and Virginia host tax-free weekends starting this weekend. Iowa’s event lasts two days. Florida and Illinois also have active tax-relief periods, according to the Federation of Tax Administrators.
Why Tax-Free Weekend Matters
For families and individuals affected by inflation, these weekends offer financial relief. Reducing the cost on necessities mitigates the impact of combined state and local sales taxes, which can greatly inflate shopping bills.
Schedule of Tax-Free Events
Most tax-free weekends commence on Friday, August 7, concluding Sunday, August 9. Iowa’s holiday ends on August 8. Dates and qualifying items differ by state.
Participating States
States using tax-free holidays to lessen back-to-school costs for families include:
- Missouri
- Ohio
- Oklahoma
- South Carolina
- Texas
- Virginia
- Iowa
Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, highlights that while some states update limits, others stick to outdated figures. Inflation may cause some items to exceed tax-free limits.
Ongoing Tax-Relief Periods
Besides weekend events, some states have longer tax-relief periods. Illinois offers a reduced tax rate on eligible items instead of a full exemption. Finance expert Michael Ryan notes that while savings matter, families should prioritize price over tax breaks. A combined sales tax of 7% means $35 savings on $500 spent.
Every state creates its own rules. For example, clothing, computers, and school supplies have different limits. Local variances may apply.
Eligible Items for Tax-Free Weekend
Qualifying items generally include:
- Clothing and footwear under set price limits
- School supplies
- Backpacks
- Computers and accessories in some areas
- Instructional materials in certain states
Texas exempts clothing, footwear, school supplies, and backpacks under $100. Virginia includes school supplies, clothing, and footwear within limits, along with emergency and energy-efficient products. South Carolina offers broad exemptions, including clothing and computers.
Ryan advises preparing a shopping list, reviewing state rules, and comparing sale prices. A 20% discount surpasses a 6% or 7% tax savings. Avoid purchases that lack pre-planned value.
Non-Eligible Purchases
Some products remain taxable, such as:
- Items exceeding price limits
- Jewelry and accessories in certain areas
- Athletic gear
- Business-use purchases
- Products outside designated categories
Each state sets unique exemption criteria.
Online Tax-Free Shopping
Tax-exemptions apply to online purchases shipped within participating states during the holiday window, regardless of seller location. Shoppers benefit in-store or online if conditions are met.
Final Thoughts
Shoppers in included states have a brief chance to benefit from tax-free school supply purchases before exemptions expire post-weekend.