Texans are expected to save an estimated $142.5 million in state and local sales taxes during this year’s annual sales tax holiday, which begins Friday, Aug. 7, and continues through midnight Sunday, Aug. 9.
During the three-day event, shoppers can purchase a wide range of qualifying items tax-free, including most clothing, footwear, school supplies and backpacks priced under $100.
Diapers — both cloth and disposable — are also exempt from sales tax, and certain sanitizers and wipes with a drug facts label remain tax-free year-round. The exemption applies whether purchases are made in stores, online, by telephone or by mail.
“Since 1999, Texans have saved more than $2 billion on everything from coats to crayons and scissors to sneakers in preparation for the back-to-school bell,” Texas Comptroller Don Huffines said. “But this holiday initiative isn’t just about short-term relief — it’s a cornerstone of financial support for Texas families, reducing the cost burden of essential educational supplies and clothing.”
Shoppers using layaway also can take advantage of the tax break. Items placed on layaway or final payments made on existing layaway purchases during the holiday are tax-free, provided each qualifying item is priced under $100.
If a retailer mistakenly charges sales tax on a qualifying purchase, customers may request a refund directly from the seller. More information about sales tax refunds is available on the Texas Comptroller’s website.
The Texas Legislature determines both the dates of the annual sales tax holiday and the list of qualifying items. A complete list of tax-free products is available at TexasTaxHoliday.org.