It’s back! For the first time since 2009, Georgia shoppers will be able to take advantage of the state’s tax free holiday on back-to-school items. Friday, August 10th and Saturday, August 11th, Georgia will suspend all sales tax on general school supplies, clothing, computers and computer accessories.
Retail analysts predict an increase in back-to-school spending this year. According the National Retail Federation, the back-to-school shopping period is bigger than the traditional Black Friday Christmas shopping period. Georgia businesses say they are ready for the customers, and many Metro Atlanta parents are waiting until the tax holiday to pick up needed back-to-school items.
Sabrina Hambrick of DeKalb County is among many Metro Atlanta parents waiting to take advantage of the tax holiday. Hambrick says, “It will definitely be beneficial for me to wait until the tax holiday to purchase needed clothing items for my son in elementary school.”
Metro Atlanta Mall manager Karl Woodard of Discover Mills in Duluth told the Atlanta Journal-Constitution, he expects more people to take advantage of sales. Woodard said, “It usually has a pretty big impact.”
The National Retail Federation predicts while parents with school-aged children will not only spend more this year than last, but they will also spend smarter. According to NRF’s 2012 Back-to-School spending survey conducted by BIGinsight, the average person with children in grades K-12 will spend nearly $690.00 on their children, up from more than $600.00 spent last year. But the survey also reveals that as parents look to replenish and restock, they are also looking for real bargains and sales. Many retailers say they will be more aggressive with both their in-store and online promotions. Early predictions include clothing and some electronics as high purchase items.
The tax free holiday of back-to-school purchases starts at 12:01 a.m. on August 10, 2012 and ends at midnight on August 11, 2012. According to the Georgia Department of Revenue’s Tax Sale Holiday site, tax exempt items include: clothing and footwear that cost less than $100 per item, general school supplies that cost $20 or less per item, and a single purchase of a computer or computer-related accessories that cost $1,000 or less.
Former Georgia Governor Roy Barnes started Georgia’s tax holiday in 2002. But state leaders ended the tax holiday during the last recession. This year Governor Nathan Deal reinstated the tax holiday because lawmakers said Georgia businesses were losing back-to-school sales to neighboring states with tax holidays.