Georgia's sales tax holiday is this weekend so you can avoid paying sales tax on items for back to school.
On Aug. 1 and Aug. 2, clothing and footwear priced $100 or less per item; computers, computer components, and pre-written computer software purchased for noncommercial home or personal use priced at $1,000 or less per item; and school supplies, school art supplies, school computer supplies, and school instructional materials purchased for noncommercial use costing $20 or less per item are all exempt from sales tax.
These exemptions apply to purchases made in-store and online. For a list of exempt and non-exempt items, visit the Department of Revenue website.
Saving on sales tax helps, but if you want to save more money while shopping this weekend, here are a few more tips:
Buy big-ticket items. According to consumer website DealNews, August is a good time to shop for laptops. Compared to July and September, August has more laptop deals including bundles or deals on specific systems. Take advantage of back-to-school sales and student discounts to get some of the best deals. And remember, most retailers will require proof of student status such as a valid .edu email address to get the discounts.
Apple's back-to-school sale will run through most of the summer, and it gives you a $100 Apple Store gift card when you buy a Mac for college or a $50 gift card when you buy an iPad or iPhone. If you are a college student, a student accepted to college, parents buying for college students, a home school teacher, or faculty or staff at any grade level, you qualify for the back-to-school promotion, and you also can save a bit more with Apple's education pricing — up to $200 on a new Mac and up to $30 on a new iPad.
The deals are available online and in Apple retail stores, but may not be the best deals on Apple products, according to DealNews. Last year, Apple resellers had better deals than Apple. Be on the lookout for prices as low as $650 on the 11-inch 2013 MacBook Air — a price DealNews reports seeing twice this summer at Best Buy.
Dell is offering bundles for students and educators including a free tablet with the purchase of a PC priced at $699.99 or more. You also can add monitors to the package starting at $199.
For more computer savings, check websites such as Amazon and Newegg for sitewide discounts. Last year, these sites offered discounts of up to 88 percent off select back-to-school computer systems, according to DealNews data.
Be loyal. Join the loyalty or reward programs of any retailer you frequent. Whether you are paid in points or cash back or special sales and discounts, you should find some benefit. In some cases, you may have to opt in to certain loyalty programs or provide your email address to take advantage of student discounts. During tax-free shopping weekend, store credit card holders will likely be able to use percent off discounts to add to their tax-free savings. At North Georgia Premium Outlets in Dawsonville, you can sign up for a VIP Shopper Club card and save even more during extended shopping hours this weekend.
Look for specials. Lots of stores will run special deals during tax-free weekend to get you in the store. Depending on what you are shopping for, these promotions may help you save more money. Belk, for instance, is hosting its nationwide denim event from Aug. 1-3. Bring in one or more pairs of gently used jeans to donate to the United Way and you get a $5 coupon that can be used toward a new pair of junior jeans.
Also take advantage of the loss leaders that stores advertise for back-to-school such as 1 cent sales on items like crayons or spiral notebooks. Most stores have quantity limits on loss leader items, so don’t expect to clean out the stash in one trip. Try to shop in a retail-rich area so you can zip from store to store to get the items priced below retail and save on sales tax, without burning up your savings in gas.
Stay within the limits. If you go over the tax-free limit for any of the items listed, you will pay full tax on the item. For example, a computer that costs $1,100 will carry the full tax. There is no cap on the total amount you can spend on clothes, shoes or supplies, as long as each item falls below the individual item cap.
Take time to familiarize yourself with items that are eligible for sales tax exemption. If you think you have been incorrectly charged with sales tax online or in a store, you can fill out an ST-12 form and turn it in to the Georgia Department of Revenue. Forms are available online at etax.dor.ga.gov.
About the Author
