Alabama Sales Tax Holiday Coming Up

Summer vacation is winding down which means most schools begin in a few weeks.

During the July 19th-21st weekend, shoppers can take advantage of sales without paying the state’s 4% sales tax.

“This is a opportunity for Alabamians to save a little money, as they are getting their kids back to school,” Alabama Retail Association spokesperson Melissa Warnke says. “This is the time of year people start trying to find the best use of their money in terms of getting back to school.”

School supplies are not the only items that can be purchased state tax exempt.

Diapers, clothes, computers, and others are also state tax exempt.

“Anyone can take advantage of the tax savings on clothing, on office and school supplies, and a few electronics as well,” Warnke says.

Since the tax free weekend was started fourteen years ago, the number of participants has grown.

“This year, there’s about 320 cities and counties participating,” Warnke says.

Some cities will charge their local taxes.
Warnke says some locations will still see an increase in sales tax revenue, because so many people are out shopping.

“It gives them an incentive to go out and shop and be in local stores. maybe they’re eating out as well, or purchasing gas or buying other things that are not tax exempt,” Warnke says. “Local governments in the state actually see a bump in sales tax collections, even though it’s a sales tax holiday.”

For a list of participating locations, you can click here.

To find out what items qualify, you can click here. 

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