Parents and students are always looking to save money during the back to school season. The annual Missouri sales tax holiday offers a great way to do it. Every year in early August, you can save on clothes, computers, and school supplies when state and local governments waive sales tax. The tax exemption begins at midnight on Friday and lasts until midnight on Sunday. In 2016, the dates are August 5, 6 and 7.
What is a sales tax exemption?
The sales tax exemption is a three-day period when the State of Missouri and many local communities stop collecting sales tax on certain items. The holiday is designed to help parents save money on back-to-school purchases, but items purchased during the tax holiday do not have to be used for school. You can save a few bucks if you buy a new computer or even more if you buy a new laptop.
What is exempt from sales tax?
Clothing : Any item valued at $ 100 or less
School supplies : must be less than $ 50 per purchase
Personal Computers : Valued at $ 3,500 or less
Computer software : valued at $ 350 or less
Other computing devices : valued at $ 3,500 or less
Where to save more money
Before you go shopping, keep in mind that not all cities and counties participate in the sales tax exemption. If you shop in one of these areas, you won’t pay 4.225 percent state sales tax, but you will still be charged local tax. Therefore, the greatest savings will come to communities that choose to exempt their own local taxes, such as the City of St. Louis, Chesterfield, and St. Charles.
In the St. Louis area, non-participating cities (where you will still have to pay local taxes) include: Berkeley, Brentwood, Bridgeton, Clayton, Des Peres, Ellisville, Ferguson, Frontenac Ladue, Kirkwood, Manchester, Maplewood, Overland, Richmond Heights, Shrewsbury, St. Ann, St. Peters, Town & Country, and Webster Groves. For a complete list of cities and counties that do not participate, visit the Missouri Department of Revenue website.
