If you’re gearing up for the busy (and expensive) back-to-school shopping season then perhaps you should commence this weekend and take advantage of the upcoming tax-free weekend that states, cities and counties are offering to consumers.
It is estimated that families across the United States will spend approximately $26.5 billion this year, according to the National Retail Federation (NRF). For each family, they will spend nearly $700 on children who are in kindergarten to the 12th grade for items such as electronics, clothing and supplies.
Florida, Georgia and Virginia are some of the nine states to eliminate sales taxes on back-to-school shopping in order to help residents save funds on one of the most costly times of the year. The tax holiday will last from 12:01 a.m. Friday until midnight Saturday. Throughout this timeframe, consumers will be exempt from paying their state and local sales taxes.
Business experts forecast that this tax break will generate an additional 30 percent increase in traffic at the malls and in stores this weekend.
“It lets you shop for the higher end stuff,” said John Fleming, spokesman for the Florida Retail Federation, in an interview with the Miami Herald. “Have fun, be smart, shop for deals. Usually there are some great sales and markdowns because retailers know you will be out and want you to shop in their stores and not in their competitors’ stores. So take advantage of that.
Households with high school students will spend more than households with children in elementary school. This is an understandable situation considering that teenagers will want the latest fashion collection, bright neon colors and the cool gadgetry.
In order to accommodate customers’ needs, many stores have already noted that they’re adding extra staff members and are maintaining fully stocked shelves. Also, in order to avoid confusion, stores will prepare a list of tax-exempt back-to-school items, including school supplies selling for $20 or less per item, computers and software selling for $1,000 or less, backpacks that are tagged $60 or less and clothing and shoes selling for $100 or less per item.
As families start taking out the plastic from their wallets, the Better Business Bureau (BBB) is urging consumers to be cautious as they spend money and to be wary of any identity theft threats. For instance, if residents are shopping online then they should install a pop-up blocker on their browser and ensure their electronic devices have been updated.
When it comes to finances, experts recommend families to establish a budget, peruse through the stores’ refund and exchange policies and launch email alerts for their favorite stores for deals and promotions.
Apple launched an informational page on its website outlining how consumers in nine U.S. states can save money during the tax holidays, which could also mean Apple could see additional receipts originating from Macs and iOS devices sales.
