Back-To-School Tax Free Holiday Kicks Off Friday
Parents stocking up on back-to-school supplies can save a few dollars this weekend during the annual sales tax holiday.
Byron Henderson with the state Department of Revenue says most purchases are only subject to three percent of the state sales tax this Friday and Saturday. He says that’s a significant savings over the usual five percent rate.
“This includes things like electronics, appliances, and really most retail purchases that people are going to engage in this weekend, including back-to-school supplies,” Henderson said.
Henderson says the tax break does not apply to vehicle purchases, food in restaurants, or taxable services. He says for items that are eligible, the two percent savings applies to the first $2,500 of the purchase price of each item.
“For example, if you were to buy a $2,500 television set and a $2,500 refrigerator, then the entire $5,000 transaction would be subject to only three percent state sales tax,” Henderson said.
Henderson says not only can customers realize savings on the front end, there are dollars to be saved on the back end as well. He says parents should keep their receipts for any back-to-school purchases including supplies, uniforms, and equipment that’s required by the school.
“These purchases could qualify for tax deductions on 2017 Louisiana individual income tax returns. Those deductions apply to educational expenses for public, private, and home schools,” Henderson said.