If you live in Florida and missed out on buying something during the holidays, there is good news for you. The state is offering an extended holiday sale in the form of a Florida school tax holiday. This tax-free period has already started and will continue till mid-January.
Florida school tax holiday in January – is there a need?
Florida has implemented its first-ever back-to-school sales tax holiday in January. Previously, the state had just one back-to-school sales tax holiday, but Gov. Ron DeSantis proposed an additional back-to-school tax holiday after he approved the $1.3 billion tax relief bill.
Florida had two sales tax holidays last year as well (May and August) for disaster preparedness. It is unclear if the governor will approve two Florida school tax holidays next year.
Gov. Ron DeSantis, however, has already proposed two back-to-school holidays during the 2024-2025 fiscal year, but his proposal depends on his $114.4 billion budget recommendation, which will be considered by lawmakers next week.
The Florida school tax holiday could offer much-needed relief to parents as students return from the winter break. Florida’s state sales tax rate is 6%, and the local tax can be a maximum of 2%. So, the maximum sales tax in some parts of Florida could be as high as 8%.
Some, however, are concerned that the sales-tax holiday just after the holidays may fail to lure shoppers. Also, two sales tax holidays could erode the state’s revenue. It is estimated that two back-to-school holidays will reduce state and local government revenue by $126.8 million and $33.8 million, respectively, this year.
Which items are tax-free?
The Florida school tax holiday will run from January 1 to January 14, 2024. During the period, the following items will be exempt from state sales tax:
- The majority of school supplies (pens, notebooks, markers, and calculators) priced $50 or less.
- Clothing, footwear and accessories costing $100 or less.
- Learning aids and jigsaw puzzles, such as flashcards, memory games and toys intended to teach reading or math skills, priced $30 or less.
- Computers and related accessories priced $1,500 or less if bought for non-commercial or personal use.
Shopper should note that cell phones and video game consoles don’t qualify for sales tax exemption. You can view the full list of tax-exempt items here.
Florida’s sales tax holiday is not only helpful for parents and students but for stores as well. Shoppers don’t have to do anything to get the tax exemption. The sales tax on exempt items will be automatically taken off at check-out.
Shoppers will get sales tax exemption even if they buy eligible items online, provided the store accepts the order during the tax-free period. The delivery of the items can be after the tax holidays.
For more information on the Florida school tax holiday, visit the Department of Revenue website or contact the department at (850) 488-6800.
