If you’re lucky enough to live in one of the 13 states participating in a tax-free weekend this August, we want you to know: we’re jealous!
A tax holiday is a golden opportunity to maximize savings during the back-to-school season by stocking up on essentials without the added cost of sales tax.
Plus, super-savvy shoppers can earn cash back or snag a discounted gift card from Raise before heading to the mall. That means bonus savings!
If you’re unfamiliar with state tax holidays, here’s how they work:
- For a limited time each year, some states allow specific items to be purchased tax-free.
- That means you won’t have to pay sales tax on qualified items!
- However, not all tax holidays are the same. Some states only exempt state taxes, while others exempt local taxes, too.
- In some states, only specific items are exempt from sales tax, such as school supplies or clothing. These items may be capped at dollar amounts: for example, in New Mexico, clothing is capped at $100. That means any clothing purchases over $100 will still be taxed.
- Special rules may apply to returned items and rainchecks, so make sure to check the rules before you return.
Does your state have a tax holiday? Here are the states and weekends in August with sales tax holidays.
- Arkansas: August 3rd-4th
- Connecticut: August 18th-24th
- Iowa: August 2nd-3rd
- Florida: August 2nd-6th
- Massachusetts: August 17th-18th
- Missouri: August 2nd-4th
- Maryland: August 11th-17th
- New Mexico: August 2nd-4th
- Ohio: August 1st-4th
- Oklahoma: August 2nd-4th
- South Carolina: August 2nd-4th
- Texas: August 9th-11th
- Virginia: August 2–4th
Each state has its own rules on what qualifies for $0 sales tax so make sure to check the details before heading out. While state tax holidays can be a little complicated, but they’re also a pretty amazing opportunity to save a boatload of cash on items you were going to purchase anyway.