Alabama Back-to-School Sales Tax Holiday weekend set for end of July
If you want the most bang for your buck when it comes to back-to-school shopping, save the date and get ready to purchase supplies July 20-22. It’s the state’s 13th annual sales tax holiday for school-related items. From 12:01 a.m. Friday, July 20, until midnight, Sunday, July 23, the state waives its four-percent sales tax on school-related supplies and clothing. Shoppers can avoid paying taxes on clothing worth less than $100, including school uniforms, shoes, shocks or diapers. Accessories, protective equipment and sports gear cannot be sold tax-free. Computers can be sold tax-free if the individual parts are sold as a package worth less than $750. School supplies worth less than $50 including ink and paper are tax-free. School books worth less than $30 are eligible for the exemption. More than 300 cities and counties throughout Alabama have agreed to waive their local taxes as well, for a savings of up to 10 percent in some areas. Check the 2018 participating cities and counties list to determine if your local communities are participating. #ShopAlabamaForTheKids In addition to encouraging shoppers to buy from local retailers by promoting the use of their hashtag #ShopAlabama, the Alabama Retail Association will also promote #ShopAlabamaForTheKids, a new extension of their campaign. There, they will ask shoppers to consider picking up an extra school supply or two to donate to local school children in need. They have partnered with nonprofit organizations to promote and support school supply drives throughout the state. MONTGOMERY AREA: Drop off donated school supplies at HandsOn River Region at 101 Coliseum Boulevard, Montgomery, AL, Monday through Thursday, 8:30 a.m. – 3:30 p.m. BALDWIN COUNTY AREA: Drop off donated school supplies at the Eastern Shore Chamber of Commerce at 327 Fairhope Ave., Fairehope, AL, or Baldwin County United Way at 700 N McKenzie Street, Foley, AL.You can also support the Eastern Shore Chamber of Commerce Young Professionals and United Way of Baldwin County Young Leaders at their “Pencils & Glue for Bingo & Brew”. The event is a school supply fundraiser for the Rotary Youth Club and Ruff Wilson Youth Center. It is Thursday, July 26, from 5:30 – 8 p.m. at Fairhope Brewing Company. Admission is a $10 donation or a bag of school supplies. DOTHAN AREA: Drop off supplies for the Dothan Education Foundation at Wiregrass Commons Mall (Mall Office) or Army Aviation Federal Credit Union from July 19 until July 30. You can also take part in the 2018 Back-to-School Bash on Saturday, July 21 at Wiregrass Commons Mall. Families will have an opportunity to help Dothan Education Foundation “STUFF THE BUS” for Dothan City Schools
Alabama Retail Association: Alabama lawmakers consider move of state’s tax-free holiday weekend
The state’s education budget committees have signed off on moving Alabama’s back-to-school sales tax holiday from the first full weekend of August to the third weekend of July. Wednesday, Feb. 15, the House Ways and Means Education Committee approved HB132 by Rep. Lynn Greer, R-Rogersville; and the Senate Finance and Taxation Education Committee approved SB136 by Sen. Tim Melson, R-Florence. Both bills now move to their respective chambers for consideration. The date change will ensure the tax holiday occurs before the start of the school year throughout the state. Several years in its 11-year history, the August sales tax holiday occurred after school had started in many areas of the state, making it impossible for parents to take advantage of the tax savings. Twice in that history, sales tax collections experienced a decline in the month of August (See graphic below). Both years, the tax holiday occurred at the absolute latest possible time it could, Aug. 7-9, well after most schools had started classes. Alabama Retail championed this tax holiday and made its passage our top legislative priority in 2006, the year the holiday began. Your association supports having the tax holiday start on the third Friday of July each year. If enacted, the timing change would begin with the 2017 tax holiday, moving it to July 21 to 23. ••• This article was first published on the Alabama Retail Association website.
