Monday, August 2, 2010

Tax Holiday Weekend in North Carolina

I'm not sure if other states have something like this but here in North Carolina there is one weekend a year in which the %8 sales tax is suspended on school related items (school supplies, clothes, pcs, calculators, etc...). A lot of parents take this time to get their kids ready for school and I'll be the first to say that I take advantage of the time to buy clothes for work. Well one of my local news stations put up an article saying that an estimated $12.3 million in taxes will be lost this weekend. That seems a bit steep to me.

Okay like I said the sales tax rate is 8% so if $12.3 million is 8% of the total revenue then by my math they are basing that on $153.75 million in total sales (12.3 being 8% of 153.75).

I'm sorry but that sounds high to me. It might be right but I have a hard time believing it.

But anyway I fully intent to take advantage of this weekend and get in some badly needed clothes shopping.


April said...

Interesting. In Minnesota, we don't have sales tax on clothes or food, since they're considered "necessities." For the longest time, I thought this was the norm, until I went to Washington state with my then-boyfriend and bought a bathing suit. When it was a few dollars more than the price tag, I commented about how I wasn't used to sales tax on clothes. The clerk said that if I showed her my Minnesota ID, she could take the sales tax off!

I tried that in another state, and got a very funny look.

Sort of a tanget, but I thought it was interesting...

Danny said...

And to make it even more interesting different items have different tax rates on them. In NC the tax on that bathing suit would have been one rate but you would have another rate at the restaurant you stopped to dine at then pay yet a different rate for the groceries you pick up before heading back home....