Arkansas Sales Tax Holiday kicks off this weekend

A recent National Retail Foundation survey indicated that families are expected to spend an average of $875 on school-related expenses for children starting or returning to school. Recognizing the financial strain this can cause many Arkansas families, we wish to highlight the upcoming Arkansas Sales Tax Holiday.

The event kicks off at 12:01 a.m. on Saturday, August 3, and ends at 11:59 p.m. on Sunday, August 4. The Sales Tax Holiday, established by Act 757 of 2011, occurs on the first weekend of August annually. During this time, no state or local sales taxes are collected on specific items. Clothing under $100 per item and accessories under $50 per item are sales tax-free this weekend.

Eligible accessories include handbags, cosmetics, jewelry, umbrellas, among others. School supplies like book bags, binders, paper, crayons, pencils, and rulers are also exempt. Act 944, passed in the 2021 Regular Session, expanded the holiday to cover electronics, such as calculators, desktop computers, cell phones, e-readers, laptops, monitors, printers, keyboards, and tablets, excluding video game systems and televisions. The tax holiday is projected to save Arkansans millions of dollars each year. Online purchases for the specified items will also be exempt from sales tax if the transaction is completed between the specified times and the items are delivered to an Arkansas address.

The sales tax holiday aims to support Arkansas families during this busy time. We urge you to make the most of this event. For a detailed list of tax-exempt items and frequently asked questions, please visit www.arkansashouse.org.