Mississippi’s annual back to school sales tax holiday ends Saturday night, giving parents an opportunity to save money on clothes and school supplies.
The 7% state sales tax is lifted on a long list of items, including school uniforms, pants, sweaters and shirts, coats and jackets, belts and hats, socks and shoes, underwear and backpacks, and school supplies such as pens, pencils, calculators and crayons.
Mississippi lawmakers created the tax holiday in 2009.
The list of eligible items was amended in 2019 to remove computers and include items other than clothes, namely important and often mandatory stationary and school supplies.
In neighboring Tennessee, which shares the tax holiday with Mississippi, the savings extend to restaurants next weekend for the first time.
Athletic equipment such as football pads and helmets or accessories including wrist watches and bandanas are not included and neither are most electronics.
The savings applies to all qualifying items priced under $100 and a complete list of eligible items is listed on the website for the Mississippi Department of Revenue.
Sales over the internet of eligible items are not subject to sales tax if the items are purchased on the sales tax holiday. The same applies to purchases or orders made through the mail or over the phone, as long as the price of the items does not exceed $100. Shipping and handling charges don’t count toward the price of the purchase.
Coupons that would otherwise reduce the price of an item under $100 don’t count as part of the tax holiday. Shoppers will likely receive the discount but pay the sales tax on the original price of the item before a coupon is applied.
However, stores might offer incentives for back-to-school shoppers to make purchases by lowering the price of items just barely too expensive to be eligible under tax holiday rules.