Sales Tax Holiday July 27 and 28

By Staff and Press Reports

The annual Sales Tax Holiday begins12:01 a.m. Friday, July 27, 2012, and ends 12:00 midnight Saturday, July 28, 2012.

The items exempt from sales tax during the Sales Tax Holiday are identical to those items exempt in prior years. Clothing and footwear items, meant to be worn next to the body and cost less than $100 per item, are exempt from sales tax during this period. Accessories such as jewelry, handbags, wallets, watches, backpacks, and similar items do not qualify for the Sales Tax Holiday. Cleats and items worn in conjunction with an athletic or recreational activity are other sample items not eligible. School supplies and computers are not included.

Eligible and Non-Eligible Items. The Sales Tax Holiday will apply statewide to all consumer purchases of clothing and footwear with sales prices of less than $100 per article during the Sales Tax holiday. The tax holiday does not apply to sales of any other items not defined as clothing or footwear.

Guidelines- $100 Threshold. The Sales Tax Holiday applies to each eligible item selling for less than $100, regardless of how many items are sold at the same time. Items priced at $100 or more are subject to Sales Tax at there regular retail rate of 7%. For example, a customer purchases two (2) shirts at $50 each, a pair of slacks at $75, and a pair of shoes at $110. No Sales Tax is due on the sale of the two shirts and the pair of slacks at a cost of $175, even though the combined cost exceeds the $100 threshold. However, Sales Tax is due on the entire $110 for the shoes since they exceed the $100 threshold.