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The annual Oklahoma Sales Tax Holiday, during which shoppers may purchase many clothing items and shoes free of sales tax, began at 12:01 a.m. today and will continue through midnight Sunday.
And while customers are saving money on their purchases this weekend, city governments and area merchants across the state receive benefits too.
“The sales tax holidays are a big boost for our local sales tax dollars within the month of August,” Shawnee City Manager Brian McDougal said. “Here, virtually all of our local government is paid for by sales tax dollars. The government reimburses the city those total dollars the citizens saved because of our reliance on the sales tax dollars. So this is a real boost for the economy.”
McDougal said consumers in Shawnee alone have saved tens of thousands of dollars in the past few years during the sales tax holiday. He said although he didn’t have the exact numbers Thursday, he believed in 2009, the tax-free weekend saved Shawnee customers about $30,000 but said that number “varies year from year, depending on what they spend.”
Scott Kingrey, Shawnee Mall manager, said mall merchants prepare for the three-day weekend in much the same ways they prepare for the Christmas shopping season. Some of those preparations include advertising and special sales but there is a difference during this holiday.
The difference, Kingrey said, is that certain items are tax-free with this holiday, unlike Christmastime and therefore, merchants have to program their registers not to charge sales tax on the exempt items, while still charging it on items that aren’t included in the exemption.
“It takes the back-to-school shopping season and compresses it more into one weekend, rather than spreading it out over three or four weekends,” he said. “The volume of traffic in the stores compares to Christmastime — it’s a busy time — so it’s all hands on deck.”
The yearly event began in 2007 and all retailers within the state of Oklahoma are required to participate, which means they cannot charge a sales tax on items considered “legally tax-exempt” during the holiday period. Clothing and shoes that cost less than $100 are exempt from all local and state sales taxes during the three-day period.
Some of the items for which customers will not be charged sales tax this weekend might be surprising to many shoppers. A few of those items are diapers, household and shop aprons, bathing suits and caps, insoles for shoes, costumes, formal wear, steel-toed shoes and wedding apparel.
And those who prefer online shopping might be pleased to know the Oklahoma Tax Commission takes those purchases into consideration too.
“Eligible items sold to purchasers by mail, telephone, e-mail or Internet shall qualify for the sales tax exemption if the customer orders and pays for the item and the retailer accepts the order during the exemption period for immediate shipment, even if delivery is made after the exemption period,” the OTC website states.
However, some items, such as clothing for pets, is not exempt from sales tax during the holiday weekend. Likewise, several items that customers wear but that aren’t considered clothing are excluded from the sales tax exemption.
“Accessories including jewelry, handbags, luggage, umbrellas, wallets, watches and other similar items carried on or about the human body, without regard to whether worn on the body in a manner characteristic of clothing are considered taxable,” the OTC website states. “The rental of clothing or footwear is also taxable.”
For more information, shoppers may visit www.tax.ok.gov/stholiday.html or inquire at the business in which they are interested in purchasing items this weekend.
The annual Oklahoma Sales Tax Holiday, during which shoppers may purchase many clothing items and shoes free of sales tax, began at 12:01 a.m. today and will continue through midnight Sunday.
And while customers are saving money on their purchases this weekend, city governments and area merchants across the state receive benefits too.
“The sales tax holidays are a big boost for our local sales tax dollars within the month of August,” Shawnee City Manager Brian McDougal said. “Here, virtually all of our local government is paid for by sales tax dollars. The government reimburses the city those total dollars the citizens saved because of our reliance on the sales tax dollars. So this is a real boost for the economy.”
McDougal said consumers in Shawnee alone have saved tens of thousands of dollars in the past few years during the sales tax holiday. He said although he didn’t have the exact numbers Thursday, he believed in 2009, the tax-free weekend saved Shawnee customers about $30,000 but said that number “varies year from year, depending on what they spend.”
Scott Kingrey, Shawnee Mall manager, said mall merchants prepare for the three-day weekend in much the same ways they prepare for the Christmas shopping season. Some of those preparations include advertising and special sales but there is a difference during this holiday.
The difference, Kingrey said, is that certain items are tax-free with this holiday, unlike Christmastime and therefore, merchants have to program their registers not to charge sales tax on the exempt items, while still charging it on items that aren’t included in the exemption.
“It takes the back-to-school shopping season and compresses it more into one weekend, rather than spreading it out over three or four weekends,” he said. “The volume of traffic in the stores compares to Christmastime — it’s a busy time — so it’s all hands on deck.”
The yearly event began in 2007 and all retailers within the state of Oklahoma are required to participate, which means they cannot charge a sales tax on items considered “legally tax-exempt” during the holiday period. Clothing and shoes that cost less than $100 are exempt from all local and state sales taxes during the three-day period.
Some of the items for which customers will not be charged sales tax this weekend might be surprising to many shoppers. A few of those items are diapers, household and shop aprons, bathing suits and caps, insoles for shoes, costumes, formal wear, steel-toed shoes and wedding apparel.
And those who prefer online shopping might be pleased to know the Oklahoma Tax Commission takes those purchases into consideration too.
“Eligible items sold to purchasers by mail, telephone, e-mail or Internet shall qualify for the sales tax exemption if the customer orders and pays for the item and the retailer accepts the order during the exemption period for immediate shipment, even if delivery is made after the exemption period,” the OTC website states.
However, some items, such as clothing for pets, is not exempt from sales tax during the holiday weekend. Likewise, several items that customers wear but that aren’t considered clothing are excluded from the sales tax exemption.
“Accessories including jewelry, handbags, luggage, umbrellas, wallets, watches and other similar items carried on or about the human body, without regard to whether worn on the body in a manner characteristic of clothing are considered taxable,” the OTC website states. “The rental of clothing or footwear is also taxable.”
For more information, shoppers may visit www.tax.ok.gov/stholiday.html or inquire at the business in which they are interested in purchasing items this weekend.
