by Laura Weisskopf Bleill
Brace yourselves, parents: the state of Illinois — one of the most fiscally challenged in the nation — is giving you a sales tax break for your back-to-school shopping.
On Wednesday, Gov. Pat Quinn signed a law that will exempt certain purchases from state sales tax during the period of Aug. 6 to 15 (see below for details). State sales tax amounts to 5 percent of a purchase, or 5 cents on every dollar; local and municipal taxes will still be charged*. The bill establishes a sales tax holiday every August through 2013.
Lunch boxes and backpacks are among the items that parents can save money on during the state's sales tax holiday August 6 to 15. Photo by somegeekintn on flickr.
“Back-to-school shopping can be expensive and difficult for families that are already struggling to make ends meet,” said Gov. Quinn. “From Aug. 6 through 15 the sales tax holiday will boost Illinois businesses while helping every child in Illinois get the school supplies they need to succeed in the classroom.”
The list of items includes clothing and shoes (including winter items such as gloves, mittens and boots) if an item is under $100. It also applies to school supplies including backpacks, lunch boxes, crayons, compasses, calculators, markers, index cards, tape, folders, construction/graph/loose leaf/colored/tracing/copy paper, notebooks, poster board, pens, pencils, highlighters, rulers, scissors, glue, chalk, and protractors. Not included: sports equipment, computers, computer accessories, cameras/videocameras/cell phones/PDAs, and art supplies (with the exception of markers and crayons).
Although the target audience is children, the tax break applies to any qualifying item. So that means that moms and dads can get some new back-to-school clothes too.
The sales tax holiday concept in the month of August is nothing revolutionary. New York was the first state to implement a tax holiday in 1997. Iowa has had the event since 2000, and Missouri, another state bordering Illinois, has offered the program since 2004.
*Local sales tax rates for Champaign, Urbana and Rantoul are 8.75 percent. In Savoy, the sales tax rate is 8 percent; Tolono, Fisher, St. Joseph and Mahomet, 7.5; Tuscola, 6.75; Monticello, 6.25.
Will the sales tax holiday affect your back-to-school shopping budget?
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