Holidays

Praising tax-free holidays | SavannahNow

Posted July 25, 2017 09:44 pm

The following editorial appeared in the Amarillo Globe-News on July 25:

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It is not often when the combination of government and taxes results in good news.

Actually, there is only one positive example of this combination which comes to mind — the sales tax holiday in the state of Texas.

Since 1999, the Lone Star State has held its sales tax holiday, primarily for back-to-school-related items. The latest sales tax holiday begins Aug. 11 and runs through Aug. 13.

Breaking it down, what the sales tax holiday means is that consumers do not have to pay sales tax on school-related items under $100, which equates to a savings of about $8 for every $100.

Give credit where credit is due, the sales tax holiday in Texas has been a welcome success, for businesses, the state and consumers.

There are a few curiosities about the sales tax holiday, and how it “primarily” relates to school items.

• Adult diapers are exempt from sales tax during the holiday. It is questionable what adult diapers have to do with back-to-school , but perhaps we are nit-picking.

• Considering football at all grade levels is king in Texas, it is worth pointing out that football-related items – such as shoulder pads, football pants, football helmets and football cleats – are taxable. Football jerseys, however, are tax-free, as are baseball jerseys and bowling shirts.

• One particular aspect of the sales tax holiday law we like: retailers can offer discounts to make the tax exemption kick in for the customer.

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