Ladies and gentlemen, prepare to shop.
The annual sales tax holiday applies to the following items:
- Clothing accessories (hats, scarves, hosiery and handbags).
- School supplies (paper, pens, notebooks, bookbags).
- Computers and computer software.
- Printers and printer supplies.
- Assorted bathroom supplies (mats, towels, shower curtains).
- Assorted bedroom supplies (sheets, blankets).
Put that down.
The following items are not exempt from sales tax during the sales tax holiday:
- Jewelry and watches.
- Cosmetics and eyewear.
- Any item placed on layaway or a similar deferred payment plan.
- Items for use in business.
- Rented clothing or footwear (think costumes for a party and roller skates at a rink).
It’s important for businesses to keep track of sales tax holidays. Charging sales tax when none is due can be as problematic as not charging it when it is due. Automation can help.