How to take advantage of Texas' tax-free weekend
Add Axios as your preferred source to
see more of our stories on Google.
Malls will likely be packed this weekend. Photo: Cooper Neill/Bloomberg via Getty Images
Procrastinators rejoice! Texas' tax-free weekend starts Friday, meaning there's still time to do some back-to-school shopping.
Why it matters: Saving on sales taxes this weekend can make a big difference for parents.
- North Texas parents will spend an average of $885 per child on clothing and school supplies this year, well above the national average of $586, per a recent Deloitte survey.
The big picture: The statewide sales tax holiday covers most clothing, footwear, school supplies and backpacks.
- Shoppers could save up to $8.25 per item.
How it works: Texas' tax-free savings cover in-person and online shopping, per the state comptroller's office.
- Clothing, backpacks and school supplies have to be under $100 to be tax-exempt, and delivery and transportation charges are counted as part of the total sales price.
- Coupons can help bring down the cost. If a pair of shoes is listed for $110 but a customer has a coupon for $20 off, they don't have to pay sales tax because the final price is $90.
The big picture: Back-to-school shopping in the U.S. is expected to reach $31.3 billion this year, slightly down from $31.9 billion last year.
Zoom in: Dallas-area parents expect to spend more this year on school supplies and new clothing, in part due to higher prices, per the Deloitte survey.
- Dallas-Fort Worth prices are about 5% higher this year compared to last, according to the most recent inflation report.
- 9 out of 10 D-FW parents surveyed said they plan to enroll their kids in extracurriculars, per Deloitte. The parents will spend an average of $691 annually on the activities, higher than the national average of $582.
- Yes, but: Households earning less than $50,000 are less likely to enroll their children in extracurricular activities, and they plan to spend about $337 a year.
Zoom out: Teachers are also stocking up on school supplies. More than 90% of Texas teachers report spending their own money on school supplies, per the Houston Chronicle.
- Texas educators spend an average of $1,396 per school year on their classroom, higher than the national average of $915, per a survey conducted by CouponBirds.
Be smart: Check the Texas comptroller's guidelines for tax-free weekend before you start shopping.
- The tax savings end Sunday night.
The bottom line: Tax-free weekend is a good time for parents and children to brush up on their math skills before school starts again.