Sales tax holiday ends Sunday

On Monday, children will be loading onto school buses and filling classrooms as the 2006-2007 school year begins. Before the kiddies head back to school, however, parents across the state will be stock piling paper, colored pencils, calculators and new clothes - just to name a few items on the laundry list of back to school neccessities!

Parents can rest a little easier this weekend because it is time for the annual Sales Tax Holiday! The holiday also promotes the purchase of energy-efficient products. Now through August 6, shoppers can purchase qualified items tax free.

House Bill 1219 provides for a sales tax exemption from both state and local taxes for four days on tangible personal property in four categories:

• Articles of Clothing

The exemption applies to articles of clothing and footwear with a sales price of $100 or less per item. Clothing accessories such as handbags, umbrellas, cuff links, handkerchiefs, jewelry, key cases, wallets, watches and watch bands, and ponytail holders and/or similar hair products are not exempt.

• Personal Computers

A single purchase of $1,500 or less of personal computers and/or related accessories is exempt. If the single purchase exceeds $1,500, the entire transaction is taxable.

• General School Supplies

The exemption applies to the purchase of general school supplies with a sales price of $20 or less per item.

• Energy Efficient Products

The purchase of energy efficient products with a sales price of $1,500 or less is exempt. The product must meet or exceed EPA and DOE standards for energy efficient products and be purchased for home or personal use. Exempt items include dishwashers, clothes washers, air conditioners, ceiling fans, dehumidifiers, refrigerators, doors, windows (including skylights), fluorescent light bulbs and programmable thermostats.

A full list of exempt items can be found at www.etax.dor.ga.gov/salestaxholiday_2006.

The exemptions are intended for an individual’s personal use. The exemptions exclude items rented, leased, purchased by businesses or purchased for resale. The exemptions do not apply to items sold at theme parks, entertainment complexes, hotels, restaurants and airports.
For more information on the sales-tax holiday, visit the Georgia Department of Revenue's Web site.

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