Sales tax-free holiday happens this weekend

By Rose Hooper

If you are buying paper, pencils or pens this weekend, you could save pennies.

North Carolina will hold its first sales tax holiday Friday, Aug. 2, through Sunday, Aug. 4.

The three-day exemption was created by the North Carolina General Assembly to help consumers with back-to-school shopping.

Certain items will be free from sales tax this weekend, including clothing, shoes and school supplies.

Locally, many Jackson County retailers have special sales planned to coincide with the three-day holiday. Some have marked down items in the $110-$130 range to $100 to make them tax exempt.

So in addition to the 6.5 percent sales tax shoppers normally pay, they will have a wide variety of special retail pricing to help their dollars go farther.

"The sales tax holiday is a win-win for our state," said Sen. Dan Robinson of Cullowhee, a supporter of the legislation. "It will make shopping more affordable for consumers, and it will give our retail economy a boost.

"I plan to be out shopping this weekend to take advantage of the savings and I hope you will do the same," he said.

Robinson estimated that with the sales and tax holiday North Carolina can expect to see a 25 percent increase in sales this weekend.

During the 2001 budget crisis the General Assembly raised the sales tax to 6.5 percent. At the same time they voted to create a weekend that was free of sales tax on items that parents buy to send their children back to school.

When the budget situation worsened in 2002 and it was estimated the sales tax holiday would cost the state $8 million in revenue, both the Governoršs and initial Senate budget would have delayed it by one year.

North Carolina Retail Merchants Association lobbyists argued that retailers had already incurred expenses for advertising, purchasing and extra inventory, as well as staff training. The language delaying the holiday was ultimately removed from the bill.

The sales tax holiday will be held the first weekend of every August, Robinson said.

For more information, call NCRMA at 1-800-662-7211. For a complete listing of eligible items, go to the website at www.ncrma.org.

From 12:01 a.m. Friday, Aug. 2, through 11:59 p.m. Sunday, Aug. 4, no sales tax will be charged on the following items:

Clothing (if $100 or less per item) - Bathing suits, Belts, Boots, Coats, Diapers, Hats, Hosiery, Jogging suits, Leotards, Neckties, Scarves, Shoes, Socks, Underwear & Uniforms.

Sports or Recreational Equipment (if $50 or less per item) - Ballet & tap shoes, Cleated athletic shoes, Gloves, Goggles, Hand & elbow guards, Life preservers & vests, Mouth guards, Roller & ice skates, Shin guards, Shoulder pads, Ski boots & Wetsuits.

School Supplies (if $100 or less per item) - Art supplies, Binders, "Bluebooks", Bookbags, Calculators, Compasses, Composition books, Crayons, Erasers, Folders, Glue, Highlighters, Index cards, Lunch boxes, Notebooks, Paper, Paper clips, Pencils, Pencil sharpeners, Pens, Protractors, Reference books, Maps, Scissors, Staplers & Textbooks.

Computer, Printer and Printer Supplies (if $3,500 or less per item).

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