If you are one of those willing to brave the crowds this coming weekend, here is all you need to know about the 2009 sales tax holiday.
This year, school supplies have also been added to the list.
I found these resources on the Texas Comptroller's website. I've included the link below to government's website.
The holiday runs August 21 - 23, 2009.
During this weekend, Texas shoppers get a break from state and local sales taxes on August 21, 22 and 23 - the state's annual tax holiday. Lay-away plans can be used again this year to take advantage of the sales tax holiday.
As in previous years, the law exempts most clothing and footwear priced under $100 from sales and use taxes, which could save shoppers about $8 on every $100 they spend. Backpacks under $100 and used by elementary and secondary students are also exempt. A backpack is a pack with straps one wears on the back. The exemption during the sales tax holiday includes backpacks with wheels, provided they can also be worn on the back like a traditional backpack, and messenger bags. The exemption does not include items that are reasonably defined as luggage, briefcases, athletic/duffle/gym bags, computer bags, purses or framed backpacks. Ten or fewer backpacks can be purchased tax-free at one time without providing an exemption certificate to the seller.
School Supplies - New in 2009!
The 81st Texas Legislature recently passed HB 1801 (2009) expanding the list of items qualifying for exemption from Texas state and local sales and use taxes during the annual sales tax holiday in August. Effective this year, in addition to clothes, footwear and some backpacks, Texas families also get a sales tax break on most school supplies priced at less than $100 purchased for use by a student in an elementary or secondary school.
The following is an all-inclusive list of qualifying school supplies (if priced less than $100):
Binders Book bags Calculators Cellophane tape Blackboard chalk Compasses Composition books Crayons Erasers Folders; expandable, pocket, plastic, and manila Glue, paste and paste sticks Highlighters Index cards Index card boxes Legal pads Lunch boxes Markers Notebooks Paper; loose leaf ruled notebook paper, copy paper, graph paper, tracing paper, manila paper, colored paper, poster board, and construction paper Pencil boxes and other school supply boxes Pencil sharpeners Pencils Pens Protractors Rulers Scissors Writing tablets
No exemption certificate is required - with one exception. If the purchaser is buying the supplies under a business account, the retailer must obtain an exemption certificate from the purchaser certifying that the items are purchased for use by an elementary or secondary school student. "Under a business account" means the purchaser is using a business credit card or business check rather than a personal credit card or personal check; being billed under a business account maintained at the retailer; or is using a business membership at a retailer that is membership based.
List of Clothing, Footwear and Backpacks, and Their Exemption Status
TAX-FREE TAXED
Baby clothes Backpacks for use by elementary and secondary students Belts with attached buckles Boots - cowboy, hiking Caps/hats - baseball, fishing, golf, knitted Coats and wraps Diapers - adult and baby Dresses Gloves (generally) Gym suits and uniforms Hooded shirts and hooded sweatshirts Hosiery Jackets Jeans Jerseys - baseball and football Jogging apparel Neckwear and ties Pajamas Pants and trousers Raincoats and ponchos Robes Shirts Shoes - sandals, slippers, sneakers, tennis, walking Socks (including athletic) Shorts Suits, slacks, and jackets Sweatshirts Sweat suits Sweaters Swimsuits Underclothes Work clothes and uniforms Accessories (generally) - barrettes, elastic ponytail holders, wallets, watches Backpacks - unless for use by elementary and secondary students Baseball cleats and pants Belt buckles (without belt) Boots - climbing, fishing, rubber work boots, ski, waders Buttons and zippers Cloth and lace, knitting yarns, and other fabrics Dry cleaning services Football pants Golf gloves Handbags and purses Handkerchiefs Hard hats Helmets - bike, baseball, football, hockey, motorcycle, sports Ice skates Jewelry Laundering services Leather goods - except belts with buckles and wearing apparel Pads - football, hockey, soccer, elbow, knee, shoulder Personal flotation devices Rented clothing (including uniforms, formal wear, and costumes) Roller blades and skates Safety clothing, glasses Shoes - bicycle (cleated), bowling, golf