If you’re a parent in Nashville, you almost certainly look forward to this weekend every year: the annual sales tax holiday in the state of Tennessee, which gives us the chance to buy a whole bunch of necessary items, without forking over the 9.25 top-off tax that usually comes along.
If you’re new to Tennessee and gearing up to take advantage, here’s what you need to know about the upcoming tax free weekend:
— The 2017 tax-free weekend in Tennessee kicks off at 12:01 a.m. on Friday, July 28 and runs through 11:59 p.m. on Sunday, July 30.
— Only certain kinds of items get exempted from sales tax. Those include: clothing (at $100 or less), school or art supplies (at $100 or less) and computers ($1500 or less).
Seems simple enough, right? It is, mostly, but before you head out to shop, it’s worth knowing the little bits of fine print.
The easiest way to think about it: If what you’re buying from those categories would be considered a back-to-school necessity for a school-aged Nashvillian, it’s probably tax free.
So: School clothes. Shoes and coats. Backpacks. All the stuff you might need to stuff in those backpacks, like pens, pencils, erasers, highlighters, index cards, notebooks and on and on.
But it does go a little broader than that too. Baby items like diapers and receiving blankets are tax free, and bridal gowns are too. Uniforms are cool, and so are Halloween costumes. If you need to stock up on lab coats, now’s the time.
What isn’t tax free:
Obviously, anything that isn’t an item of clothing, a computer or a school supply doesn’t get included in the sales tax holiday. But in the more wiggly spots in those categories, this is worth knowing:
— “Clothing” is meant in the most general sense. Items that are made for very specific purposes (like cleats or ballet shoes, or, say, bridesmaid gowns) largely won’t be included.
— Your 15-year-old might consider makeup an essential school supply, but cosmetics aren’t on the list.
— This might seem like a good excuse to blur the margins and do some home-improvement, by picking up paint/brushes as “school supplies,” but unfortunately, the state’s on to us. The only brushes/paints that you can grab without sales tax are the ones defined as school art supplies, like acrylic tempera paint.
— A smart phone may function pretty much exactly like a computer, but no, those aren’t included. Oddly enough, though, tablets do fall under the tax-free umbrella.
— External hard drives and jump drives may be essential for your computer usage, but they’re not included either.
— Your video game system may essentially be a computer, too, but no, you can’t skip the tax on those either.
— Software’s tricky too. software that comes with a less-than-$1500 computer that you buy is included. Additional software or upgrades: You have to pay the sales tax.
Check out a full list of non-exempt tax-free weekend items here.
Key thing to take away:
If you have to do some school shopping, or you’ve been holding out to get that new MacBook Pro, this weekend can bring some really significant tax-free savings.
Grab some more basic information about the Tennessee Sales Tax Holiday here.
When you’re done school shopping, if you’re feeling about ready to start shopping for a new Nashville home, ACRE can help! Reach us here, or for an easy way to get your househunting process started, fill out this quick form.