From Friday, August 7 to Sunday the 9, back to school supplies up to $20 an item, clothes valued up to $75 an item and instructional material up to $20 an item will not have a sales tax attached. It will cover clothing, school supplies, computers and other items.
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“The sales tax holiday is an opportunity for Georgians to save a little money during these challenging economic times”, said District Engineer, Chad Hartley.
Multiple items can be purchased in a transaction and still qualify for the tax exemption. Most states limit the tax break to items selling for less than a certain amount (typically $100 or less for each item of clothing).
Rauschenberg said the holiday starts at 12:01 am.
School supplies qualifying as tax-free must cost under $100 each. But saving on sales tax is no excuse for careless shopping.
In a change from prior years, the General Assembly has consolidated three state sales tax exemption programs into one this year. After the holiday, the customer returns the shirt, receives a credit for the shirt, and then buys a $35 jacket.
But a study conducted by the University of Cincinnati Economics Center projected a 4.8 percent boost in sales with a sales tax holiday. If an eligible item was purchased during the Sales Tax Holiday and later exchanged for the same item but it’s a different size, different color, etc., then sales tax is not to be charged even if the exchange is made after the holiday.
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Sixteen states around the country have enacted similar holidays in past years.
