As the summer is coming to a close and the back to school mentality is ramping up, many American’s are going back to the stores to stock up on school supplies. Within the United States there are around 45 states, including Washington D.C. and Guam, that impose sales taxes or leases on many of the goods sold within the their state lines. The five states who choose not to ever impose state sales taxes are Oregon, Alaska, Delaware, New Hampshire and Montana. But come the end of every July or beginning of August a little less then half, around 16, states take a sales tax holiday on items that are deemed “back to school supplies”.
Changing from state to state, there are going to be no sales taxes on school supplies, clothing, energy efficient appliances, hurricane preparedness, computers and electronics. There is much discussion as to the benefits to states taxing annual tax holidays. Most feel that its great for local economies by boosting revenue and getting people into stores. Then there are others that argue the opposite saying that taking a tax holiday deprives the state of much needed revenue from the taxes. The benefits and downfalls are dependent on the state and help organize the timing and duration of each tax holiday. Below is a chart of the 16 states that are participating in the summer tax holiday and the dates that the holidays are occurring.
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