Current:Home > InvestBack-to-school 2023 sales tax holidays: See which 17 states offer them. -Elite Financial Minds
Back-to-school 2023 sales tax holidays: See which 17 states offer them.
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Date:2025-04-13 20:00:22
Two fewer states are offering families back-to-school sales tax holidays this year even though families are still suffering under the weight of high inflation.
Seventeen states either have already had or plan sales tax holidays to give families some relief from soaring prices. That's down from down 19 last year because Illinois and Virginia bowed out.
Although annual inflation cooled in June to 3% from 9.1% last year, the cost of school supplies has climbed 28% from last year, according to a study by money transfer company WorldRemit. That’s enough to make 54% (up from 46% last year when inflation was at a 40-year high) worry they may not be able to buy all the items their children need for school, a savings.com survey of 483 U.S. adults with children attending K-12 schools in July showed.
"Although parents were willing to endure higher prices last year for replenishing back-to-school items after the pandemic, 18 months of inflation have changed their tune,” said Nick Handrinos, head of Deloitte LLP’s retail and consumer products practice, in a report. “Uneasiness about the economic situation is creating price sensitivity.”
A popular way to save money each year is to take advantage of sales tax holidays to cut costs, which 66% of parents intend to do, savings.com said. Below is a list of participating states and what's tax free, according to the Federation of Tax Administrators. Rules and dates vary by state so check the state’s website for the most updated information. In some instances, local taxes may still apply, too.
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Alabama
July 21-23
What's tax-free:
- Clothing: $100 or less per item
- Computers: $750 or less per item
- School supplies: up to $50 per item
- Books: up to $30 each
Arkansas
August 5-6
What’s tax free:
- Clothing and shoes: $100 or less per item
- Clothing accessory or equipment: $50 or less per item
- School supplies
- Electronic devices, school art supplies, school instructional materials
Connecticut
August 20-26
What's tax-free:
- Clothing and footwear, but not athletic wear: $100 or less per item
Florida
July 24–Aug 6
What's tax-free:
- Clothing, footwear, and certain accessories: $100 or less per item
- Certain school supplies: $50 or less per item
- Learning aids and jigsaw puzzles: $30 or less per item
- Personal computers and certain computer-related accessories: $1,500 or less per item, when purchased for noncommercial home or personal use
Iowa
August 4-5
What's tax-free:
- Clothing or footwear: less than $100 per item
Maryland
August 13-19
What’s tax free:
- Clothing and footwear: $100 or less
- Backpack/bookbag: the first $40
Massachusetts
August 12-13
What’s tax-free:
- Many retail items: $2,500 or less per item
- Clothing: up to $175 per item
Mississippi
July 28-29
What’s tax free:
- Clothing: up to $100 per item
Missouri
August 4-6
What's tax-free:
- Clothing: up to $100 per item
- School supplies: up to $50 per purchase
- Computer software: up to $350
- Personal computers: up to $1,500
- Computer peripheral devices: up to $1,500
- Graphing calculators: up to $150
New Jersey
August 26- September 4
What’s tax-free:
- Computers: less than $3,000;
- School art supplies
- School computer supplies: less than $1,000;
- School instructional materials
- School supplies
- Sport or recreational equipment sold to individual purchasers for non-business use.
New Mexico
August 4-6
What’s tax-free:
- Clothing or shoes: less than $100 per item
- Desktop, laptop, tablets or notebook computers: up to $1,000
- Related computer hardware: up to $500.
- School supplies for use in standard, general-education classrooms: under $30 each
Ohio
August 4-6
What’s tax-free:
- Clothing: up to $75 per item
- School supplies: up to $20 each
- School instructional material: up to $20 per item
Oklahoma
August 4-6
What’s tax-free:
- Clothing: up to $100 per item
South Carolina
August 4-6
What’s tax-free:
- Computers and printers
- School supplies
- Clothing and accessories, shoes
- Certain bed and bath items
Tennessee
July 28-30
What’s tax-free:
- Clothing: $100 or less per item
- School and art supplies (such as binders, backpacks, crayons, paper, pens, pencils, and rulers, and art supplies such as glazes, clay, paints, drawing pads, and artist paintbrushes): $100 or less per item,
- Computers for personal use: $1,500 or less per item
- Laptop computers and tablet computers: $1,500 or less per item
Texas
August 11-13
What’s tax-free:
- Clothing, footwear, school supplies, and backpacks: less than $100 per item
West Virginia
August 4-7
What’s tax-free:
- Clothing: up to $125 per item
- Laptop and tablet computers: up to $500 each
- School instruction material: up to $20 per item
- School supplies: $50 or less per item
- Sports equipment: $150 or less each
Best deals:Where to find back-to-school deals: Discounted shopping at Target, Walmart, Staples and more
Why are Illinois and Virginia not offering back-to-school sales tax holidays?
Virginia’s tax holiday expired on July 1, and its General Assembly didn’t extend the guidelines or pass new ones during its most recent session. So, "there won’t be a 2023 Sales Tax Holiday like we typically have in early August,” a spokesperson said.
Illinois’ legislatures also didn’t renew its back-to-school tax holiday because inflation’s easing.
“The Inflation Reduction Act is working as intended, and we are seeing inflation ease throughout the nation,” said Maura Kownacki, spokesperson for the Illinois Department of Revenue. “Governor (J.B.) Pritzker was pleased to provide one-time relief during a period of uniquely high inflation, and with inflation coming down, the latest budget continues to invest in working families with historic investments early childhood education and financial aid for higher education.”
Illinois, though, continues to offer a 25% education expense tax credit on eligible back-to-school expenses exceeding $250 on individual income tax returns. The total credit cannot exceed $750, regardless of the number of qualifying children.
Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her atmjlee@usatoday.com and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday.
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