Everyone loves a holiday – especially a holiday from taxes.
Tennessee’s sales tax holiday begins Friday at 12:01 a.m. and ends Sunday at 11:59 p.m.
During that period, shoppers won’t pay state or local sales tax on clothing, school and art supplies that cost less than $100 per item or computers that cost $1,500 or less. That means Tennessee shoppers can save nearly 10 percent on clothing, school supplies and computers in areas where there is a local option sales tax.
Tennessee’s Department of Revenue has issued a list containing examples of items eligible for tax-exempt status – as well as items which do not qualify for the tax holiday.
Here’s a tip: Don’t expect to buy a tax-free pair of baseball cleats.
Notebooks? In. Reference books? Out.
Eyeing a cowboy hat? Tax-free. Sunglasses? Not so much.
And ski boots? No way. But a ski suit? Take your discount.
Examples of items exempt from taxes during the state’s tax-free during the holiday include:
Clothing: Shirts, dresses, pants, coats, gloves and mittens, hats and caps, hosiery, neckties, belts, sneakers, shoes, uniforms, ski suits, golf clothing, cowboy hats and scarves. Clothing items must be priced under $100 per item to be considered eligible.
Clothing items such as handbags, accessories, umbrellas, cleated or spiked shoes, ski boots, sunglasses, wallets and watches are not eligible for tax exempt status during the tax holiday.
School Supplies: Binders, book bags, calculators, tape, chalk, crayons, erasers, folders, glue, pens, pencils, lunch boxes, notebooks, paper, rulers and scissors. Supplies such as maps or reference books are not eligible under the tax free holiday guidelines.
Art Supplies: Clay and glazes; acrylic, tempera and oil paints; paintbrushes for artwork; sketch and drawing pads; and watercolors.
Computers: Central processing unit (CPU), along with various other components including monitor, keyboard, mouse, cables to connect components and preloaded software.
While the CPU may be purchased separately, other items such as monitors, keyboards and computer components must be part of a bundled computer package in order to be eligible. Tablet computers are eligible for tax exemption, but cellular phones, video game consoles and electronic readers such as Kindle and Nook are not.
Also ineligible are computer storage media such as compact discs, diskettes, flash drives, USB drives, personal digital assistants, printers and printer supplies such as ink and paper.
For more information, visit www.tntaxholiday.com . You can also email the Department of Revenue at salestax.holiday@tn.gov or call 800-342-1003. Staff is available to answer questions Monday through Friday 7 a.m. to 5 p.m. Central Time. Out-of-state and Nashville-area callers, call 615-253-0600.
North Carolina has done away with its sales tax holiday, which had mirrored Tennessee’s, part of a tax reform plan passed by the North Carolina legislature. In some areas, that could fuel added shoppers for some Tennessee businesses.