Iowa, Texas and Ohio Launch Back-to-School Tax Holidays

Several U.S. states have launched annual sales tax holidays to reduce the cost of back-to-school shopping. In Iowa, the event began Friday, August 6, and runs through Saturday, exempting clothing and footwear under $100 from sales and local option taxes. The holiday excludes jewelry, watches, and sporting equipment.

The Government of Texas began its tax-free window on Friday, August 7, extending through midnight Sunday, August 9. This initiative exempts most backpacks, school supplies, clothing, and footwear priced under $100, applying to both in-store and online retailers operating within the state.

Ohio also started a three-day holiday on Friday, August 7, running through Sunday, August 9. Ohio's exemptions are more restrictive than in previous years, covering clothing priced at $75 or less and instructional materials or school supplies priced at $20 or less. In Columbus, retailers such as LIT Kicks and Tanger Outlets Columbus are offering additional promotions to help families manage costs.

Financial experts and business owners are preparing for the surge in activity. Bank of America Charlottesville President Carolyn Rainey advised consumers to prioritize needs over wants using shopping lists, while LIT Kicks owner Shad Creanur noted that his store is expecting significant traffic both online and in-person.