The average parent spent about $895 on back-to-school shopping last year.
School may have just let out but in some parts of the country, the time to plan for back-to-school has already begun. July marks the start of back-to-school tax holidays, a time when sales tax is waived on hundreds of school supplies items. Not all states participate and the exact timing of when this tax-free holiday takes place will depend on where you live. Keep reading to find out when your state’s back-to-school tax period occurs to save on everything from lunch boxes to laptops.
Back-to-School Tax-Free Holidays by State
Out of the 50 states, only 17 participate in a school supplies tax holiday. Alaska, Delaware, Montana, New Hampshire, and Oregon don’t charge sales tax at all and thus, have no need for the tax-free period.
Of the states that do participate, the tax-free period is typically a weekend long, ranging from 2 to 3 days. Connecticut, Florida, Illinois, Maryland, Missouri, New Jersey, and Tennessee all have tax-free periods of 6 days or longer.
Which school supplies are eligible for tax-free weekends?
In most cases, only specific items are eligible for the tax break on back-to-school items. These may also be subject to spending limits for each. In most cases, this tax break applies to purchases made both in-person and online.
Item | Spending Limit |
Clothing | Up to $100 per item |
Shoes | Up to $100 per item |
School Supplies | Up to $20-50 per item |
Bookbags & Backpacks | Up to $100 per item |
Computers | Up to $500- $1500 |
Sports equipment is commonly excluded from back-to-school tax holidays, and art supplies may be considered a separate spending category depending on your state.
Limitations vary by state. South Carolina, for example, has no spending limits on tax-exempt items; Massachusetts doesn’t have specific categories for eligible items and instead offers a broad tax holiday on most items with a few exceptions.
Struggling to pay for school supplies?
Tax savings will only add up to so much. If you’re still feeling the financial strain of back-to-school shopping from last year, talk with a financial coach today for advice on how to adjust your budget and options for dealing with debt.