MARBLE FALLS — Get ready to hit the stores because the Texas sales tax holiday rolls back around Aug. 5-7.
According to the Texas Comptroller of Public Accounts website, the sales tax holiday exempts “most clothing, footwear, school supplies and backpacks priced less than $100 from sales and uses taxes.”
A shopper who spends $100 on qualified items could save up to $8.
Typically, the exemption applies to any eligible item even if the total costs of a combination of things exceeds $100. For example, if a person purchases an eligible backpack for $35, a shirt for $20 and two pairs of pants for $40 each, then each of the items is sales-tax free during the weekend, even though the total bill is $135.
Now, the exemption doesn’t apply to the first $99.99 of an item that costs more than that. So if you buy an item such as a pair of shoes that costs $120, then the sales tax is due on the entire $120.
Athletic equipment used primarily for a sport, such as football pads, aren’t eligible for the exemptions. But apparel that is also commonly worn for purposes other than athletics such as tennis shoes and jogging suits are eligible for the exemption if they are priced less than $100 individually.
Framed backpacks aren’t eligible for the exemption nor are “items that are reasonably defined as luggage, briefcases, athletic/duffle/gym bags, computer bags and purses.”
So there is some fine print to the exemption. Check with the retailer or go to comptroller.texas.gov for more information on the sales tax holiday.