Shoppers can take advantage of Texas sales tax-free weekend

Texas shoppers can save money on clothes and school supplies during the state’s sales tax holiday Friday, Saturday and Sunday, Aug. 7-9.

The law exempts sales tax on qualified items — such as clothing, footwear, school supplies and backpacks — priced below $100, saving shoppers about $8 on every $100 they spend. The date of the sales tax holiday and list of tax-exempt items are set by the Texas Legislature.

Apparel and school supplies that may be purchased tax-free are listed on the comptroller’s website at TexasTaxHoliday.org.

To promote social distancing, the state comptroller’s office reminds taxpayers that during the annual sales tax holiday, qualifying items can be purchased online or by telephone, mail, custom order or any other means (including in-store purchases) tax free, when either:

• the item is both delivered to, and paid for by, the customer during the exemption period; or

• the customer orders and pays for the item, and the seller accepts the order during the exemption period for immediate shipment, even if delivery is made after the exemption period ends.

Texas’ sales tax holiday weekend has been an annual event since 1999, allowing Texans to save millions of dollars in state and local sales taxes each year. Uncertainty surrounding consumer activity in the retail sector coupled with a lack of clarity regarding the timing and nature of schools reopening prevents the agency from producing an estimate for dollars saved by taxpayers during this year’s holiday. Last year’s holiday generated an estimated $102.2 million in savings for Texas taxpayers.