RICHMOND — Need school supplies and clothing for the fall?  Plan your
shopping for the first weekend in August and you will save some money.
Virginia’s second sales tax holiday is set for Friday, Aug. 3, through
Sunday, Aug. 5. During the three-day event, certain purchases will be
exempt from the 5 percent state and local retail sales tax.  Sales tax
will not be charged on school supplies priced at $20 or less per item,
or on articles of clothing, including footwear, costing $100 or less
each.
The “holiday,” approved unanimously by the 2006 General Assembly, will
take place each year on the first Friday-Saturday-Sunday period in
August.  Earlier this year, the Legislature approved two additional
sales tax holidays. A four-day tax holiday is set for October that
exempts certain energy-efficient appliances.  Another weeklong tax
holiday will begin in May 2008 for purchasing equipment to prepare for
hurricanes.
While there is no way to determine exactly how much taxpayers saved
last year during the state’s first sales tax holiday, savings were
expected to be about $3.6 million.  That jumps to an estimated $3.8
million for the 2007 back-to-school holiday.
  The rules governing the 2007 August tax holiday are the same as last
year.  Information on the three tax holidays is available on the
Virginia Department of Taxation’s Web site at www.tax.virginia.gov
<http://www.tax.virginia.gov .  This includes policy guidelines for the
tax holiday, a list of frequently asked questions, an all-inclusive
list of eligible school supplies, a representative list of eligible
clothing, and a PowerPoint presentation.
“The state’s first tax holiday was very popular last year as parents,
students and others saved money on back-to-school purchases,” said Tax
Commissioner Janie Bowen.  “We certainly expect this year’s holiday to
draw a lot of attention, too. It’s perfect timing to get ready for the
new school year, and will be especially helpful to families with more
than one child.”
All shoppers will avoid the sales tax when buying exempt items in
Virginia during the tax holiday.  There is no requirement that the
purchases be made for a student or for school purposes.
In addition to the exempt items, retailers may also choose to pay the
sales tax themselves on any nonexempt items they sell from Aug 3-5 and
pass the 5 percent savings on to customers.