How to Save Money on Back-to-School Purchases During Sales Tax Holidays

What sales tax holidays are and how they work

A sales tax holiday is a set period — usually a few days or a week — when your state stops collecting sales tax on certain items. You pay the full price of the item itself, but the tax that would normally be added at checkout simply doesn't appear. The savings depend on your state's tax rate: if your state charges 7% sales tax and you spend $200 on clothes, you save $14.

Not every state runs a sales tax holiday, and the ones that do don't all cover the same items or happen on the same dates. Most focus on back-to-school purchases — clothing, shoes, school supplies, and sometimes computers or tablets — but a few states also run holidays for energy-efficient appliances, hurricane preparedness, or other categories. The holiday is a temporary break in the tax, not a discount from the store itself, so the store's regular prices stay the same.

The holiday is run by your state, not by individual retailers. Some stores advertise it heavily; others don't mention it at all. Either way, the tax simply won't be charged during the window, as long as you're buying items that may have access to.

Key Takeaways

• Sales tax holidays happen on different dates in different states, and most run for one week in late July or early August for back-to-school shopping.
• Each state decides which items are tax-free — some cover all clothing and shoes, others have price caps or exclude certain items like athletic wear or accessories.
• The savings depend on your state's tax rate and how much you spend, but a typical family buying school clothes and supplies might save $20 to $50 per child.
• Planning your purchases around the holiday window means you can buy what you need anyway, but time it to avoid paying tax on those items.

When your state's sales tax holiday happens

Most states that offer a back-to-school sales tax holiday run it for one week in late July or early August. Some start on a Friday and run through the following Sunday; others run Monday through Sunday. A handful of states run two separate holidays — one in summer and one in fall — or extend the holiday to two weeks.

The exact dates change every year and are set by your state legislature, usually announced in the spring. Your state's Department of Revenue website publishes the official dates, and that's the source to check rather than relying on store announcements, which sometimes get the dates wrong. If you're shopping across state lines — for instance, if you live near a border — both states' holidays may apply to purchases made in each state, but not to online orders shipped to your home address.

A few states don't run a back-to-school holiday at all. If your state isn't listed on the Department of Revenue site, there is no official holiday period, though some individual stores may run their own tax-free promotions.

What items are actually covered

Back-to-school holidays almost always cover clothing and shoes, but the details matter. Some states tax-free everything you wear, including hats, belts, and socks. Others exclude items they consider accessories — like hair clips or scarves — or athletic wear like sneakers or gym clothes. A few states put a price cap on individual items, meaning a $150 winter coat might be partially taxed while a $40 sweater is completely tax-free.

School supplies — notebooks, pencils, pens, folders, backpacks — are covered in most states, though some exclude items like calculators or computer equipment. If your child needs a laptop or tablet for school, check your state's list before assuming it's covered; some states have separate technology holidays on different dates, and others don't cover electronics at all during the back-to-school period.

The state's Department of Revenue publishes a detailed list of what's in and what's out. It's worth reading before you shop, because the boundaries can be surprising — for instance, some states tax gym shoes but not regular shoes, or cover school uniforms but not regular clothing. If you're unsure whether a specific item qualifies, you can call the store's customer service line or the Department of Revenue directly.

How much you'll actually save

Your savings equal your state's sales tax rate multiplied by the cost of the items you buy. If your state charges 6% tax and you spend $300 on clothing and supplies during the holiday, you save $18. If your state charges 8% and you spend $500, you save $40. The savings are real but modest for most families — not a discount, just the absence of a tax that would normally be charged.

The savings are larger if you live in a state with a high sales tax rate (some states charge 9% or more) or if you're buying for multiple children. A family buying back-to-school items for three kids might normally pay $50 to $100 in tax; during the holiday, that tax doesn't apply. For families on a tight budget, that's money that can go toward other school costs like fees or supplies the holiday doesn't cover.

The holiday doesn't change the store's prices or offer any additional discount beyond the tax savings. If an item is on sale during the holiday week, you get both the sale price and the tax savings, but the store isn't required to put anything on sale just because the holiday is happening.

Planning your shopping around the holiday dates

The practical strategy is simple: buy what you need anyway, but time those purchases for the holiday week if you can. If your child needs new shoes and you were planning to buy them in August anyway, waiting for the holiday week saves you the tax. If you're buying items you wouldn't otherwise purchase until September, moving them up to the holiday week makes sense only if you have the money available and the items won't go unused.

Make a list of what you actually need before the holiday week starts. This prevents impulse buying — the holiday can create a sense of urgency that leads to purchases you didn't plan for. Once you know what you're buying, check the state's list to confirm each item qualifies. If something doesn't, you can either skip it or buy it after the holiday if the price difference matters to your budget.

If you shop online, check the retailer's policy on tax. Some online stores charge tax based on where the item ships, not where the store is located. If you live in a state with a holiday and order from an out-of-state retailer, you may still be charged tax. Buying in person at a store in your state during the holiday week guarantees you won't pay tax on covered items.

Combining the holiday with other ways to reduce costs

The sales tax holiday works alongside other strategies for managing back-to-school expenses. If a store is running a back-to-school sale during the same week as the tax holiday, you get both the sale discount and the tax savings. Some employers offer back-to-school reimbursement or discounts through benefits programs; using those during the holiday week maximizes your savings. Coupons and store loyalty programs also stack with the tax holiday.

Some families use the holiday as a checkpoint to buy basics — socks, underwear, plain shirts — that they know will be used regardless of what the school year brings. Other families wait until after the holiday to buy trendy items or specialty gear, since those purchases are less predictable and the tax savings on them matter less than avoiding waste.

If your state doesn't run a sales tax holiday, or if the dates don't work with your schedule, other cost-reduction strategies include buying used items through community groups or online resale sites, shopping at discount retailers, and buying multipacks of supplies that will be used over the whole school year rather than just the first month.

What to do if you miss the holiday window

If the holiday week passes and you still need to buy items, you simply pay the regular price plus tax. There's no penalty or missed opportunity beyond the tax itself. Some families intentionally shop after the holiday for items they're less certain about — for instance, waiting to see what the teacher actually requires before buying specialty supplies — and accept the tax as part of that cost.

If you bought items during the holiday but discover later that they weren't covered and you were charged tax, you can't get a refund from the store. The tax was legally owed on those items. However, if you were charged tax on items that should have been tax-free, contact the store's customer service with your receipt; some stores will issue a refund if they made an error.

Mark next year's holiday dates on your calendar as soon as they're announced. Most states announce the dates in April or May for the following summer's holiday, so you can plan ahead rather than scrambling to shop during the week itself.

Frequently Asked Questions

Do I have to shop in person, or can I order online during the tax holiday?

Online orders may or may not be tax-free depending on where the retailer is located and where you live. If you order from a store that has a physical location in your state, the tax holiday usually applies. If you order from an out-of-state retailer, they may charge tax based on their location rather than yours. Call the retailer or check their tax policy before ordering if the tax savings matter to your budget.

Are uniforms covered if my child goes to a private school?

Most states that cover clothing also cover school uniforms, whether the school is public or private. However, some states have specific rules about what counts as a uniform — for instance, requiring that it be a specific color or style required by the school. Check your state's list or call the Department of Revenue if you're unsure whether your child's uniform qualifies.

What if I'm buying clothes for a teenager who's almost an adult — do the same rules apply?

Yes. The tax holiday covers clothing and shoes for people of any age, as long as the items themselves meet the state's definition of tax-free clothing. Size and age of the wearer don't matter — only what the item is and whether it qualifies under the state's rules.

Can I return items I bought during the holiday and get the tax savings back?

If you return an item you bought during the tax holiday, the refund is based on what you paid — which didn't include tax. You don't get an additional refund or credit. If you return an item after the holiday ends, the same rule applies: you get back what you paid, which is the sale price without tax.

Do I need to do anything special at checkout to get the tax holiday discount?

No. As long as you're buying tax-free items during the official holiday week in a state that runs the holiday, the tax simply won't be charged at checkout. You don't need a coupon, code, or special card. The register is programmed to not charge tax on those items during those dates.