My wife and I went to church this Sunday in Tennessee.
We were surprised to discover that Tennessee has a tax freedom weekend.
The stores and malls were packed with people taking advantage of saving some big money by not having to pay sales tax.
There are 26 states that have some form of special sales-tax freedom weekend, or week. The states that do this the most are Florida and Tennessee.
Other states such as Texas and Missouri compete with a variety of ways of giving people a sales tax holiday.
What I discovered for Tennessee was that there was a sales tax freedom weekend for clothing, school supplies, computers…there was also a sales tax -free week for food and a year-long sales tax freedom for guns, safes, and safety devices.
In Florida, they have a similar select group of items for not paying any sales tax. In Florida, it’s usually a week on such items as disaster preparedness, food storage, portable lighting, generators, admission to live music, sports or movies, clothing, school supplies and computers.
One of the major features of the Tennessee sales tax holiday is to help parents with school children to get school supplies, including clothing.
Other states with relatively good tax holidays include Alabama and Arkansas.
What about your state?
Most states ended up with a surplus at the end of the pandemic.
One of the best things that could be done to help the people and stimulate the retail economy is to give the tax-free holiday.
This is especially the case with California with a $75 billion surplus. Californians are paying between 9% to 15% sales tax.
Is your state doing it?
If not, why not?
Then tell me what you think. Let me know at [email protected].