tax-free period

Alabama looks to push its back-to-school sales tax holiday up a week.

Update, 4.3.17: Senate Bill 136 has been enacted. It takes effect immediately, so the 2017 back-to-school sales tax holiday will begin at 12:01 a.m. on the third Friday of July and conclude at midnight, the following Sunday.

Alabama’s back-to-school sales tax holiday usually takes place the first full weekend of August. But if Gov. Robert Bentley signs Senate Bill 136 (House Bill 132) into law, it will move to the third full weekend of July.

Sen. Tim Melson, who sponsored the bill, said the current sales tax holiday is “too close to the start of school.” Most schools in Alabama start in early August, so when the sales tax holiday occurs Aug. 5 – 7, as it did in 2016, families scramble to take advantage of it.

The measure was approved Wednesday, March 15, and sent to the governor’s desk for his signature. If enacted, the state’s annual back-to-school sales tax holiday will run July 21 – 23, 2017. Learn more about states offering sales tax holidays in 2017.

Tax automation software helps businesses comply with sales and use tax laws in all states, making it easier to adapt to changes such as the one under consideration in Alabama. Learn more.