Connecticut’s annual tax-free week is scheduled to kick off just in time for the back-to-school shopping season, starting on Sunday, Aug. 20, and ending on Saturday, Aug. 26. State law mandates that the tax-free holiday begins the third Sunday of August each year.
The tax exemption applies to clothing and footwear priced under $100, typically subject to the state’s 6.35% sales tax. However, the exemption does not extend to athletic equipment, jewelry, or hair accessories. Specific guidelines regarding what qualifies for the tax-free status can be found on the state’s provided list.
Some key rules to note during this tax-free week include:
Items usually priced over $100 that are on sale for less will enjoy the tax exemption.
In buy-one, get-one offers, if the full-priced item is over $100, it will be taxed, while the discounted item (if under $100) will not be taxed.
Stores cannot average the price of two items to get both under $100 for tax exemption.
Items typically sold as a single unit but priced over $100, such as a suit or two-piece bathing suit, cannot be sold separately to fall under the $100 threshold. If items like a bathing suit top and bottom are usually sold separately and priced under $100, they will be exempt.
Online purchases and shipping fees for exempt items also fall under the tax exemption.
Some of the stranger exemptions to the sales tax free week include shower caps, lobster bibs, cleated shoes, pot holders, umbrellas, wallets, skates and wet suits. Click here for a list of what is and isn’t tax exempt.
Connecticut’s tax-free tradition started in 2000 for clothing and shoes under $300, with all items under $50 being exempt year-round. However, in 2011, all clothing and footwear became taxable, and in 2015, the eligibility limit for tax-free week dropped to $100.
Residents looking to save on back-to-school fashion and essentials can benefit from this upcoming tax-free week, being mindful of the specific regulations to maximize their savings.