TYLER, Texas (KETK) – Tax free weekend is right around the corner.
Mechele Mills with the Better Business Bureau of East Texas stopped by East Texas Live to share some shopping tips for tax-free weekend, which begins Friday and goes through Sunday.
WHAT ITEMS ARE TAX-FREE?
“Basically you can not pay taxes on certain items like most clothing, footwear, backpacks, school supplies, that type of thing if it’s $100 or less,” Mills said.
Items eligible for the tax break include school-supply items, including most footwear and clothing. The exemption works for each eligible item sold for under $100, with no limit on how many qualifying items you can buy. This means you could buy two $90 qualifying items and not pay sales tax, even though your total will be more than $100.
Specialty items like cleats or hiking backpacks are not included and will be taxed normally. Other items like computers, software, textbooks, handbags, jewelry and more will still be subject to regular taxes.
For a list of what is tax-free and what is still taxable, visit the Texas comptroller’s website.
DO ONLINE PURCHASES COUNT?
Online purchases qualify for tax-free shopping as long as the total is under $100 and the purchase was made during the tax-free window, even if it ships later in the week. However, if the charge does not come through on your credit/debit card until after tax free weekend ends, you will still be charged for the sales tax.
For online orders, remember delivery, shipping and handling charges factor in to the total sale price, so tax will be due if it comes out to over $100.
The Texas Comptroller’s website has more information on online tax-free purchases. Still, Mills recommends you buy local.
“You can go to a place in person, but you can also do it online,” Mills said. “We do recommend that you shop in person always so you can help support the local economy, people that work there. Make a day out of it, go to the restaurants. Try to do that if you can.”
For more information, watch the video above and get more tips from BBB.org.
