State Senator Steve Southerland (R-Morristown) is encouraging local residents to take advantage of Tennessee’s upcoming sales tax holidays, set to begin July 28 with the state’s annual back-to-school tax-free weekend. A three-month-long suspension on grocery sales tax begins Aug. 1.
The sales tax holidays are part of successful legislative efforts in the General Assembly this year, supported by Southerland, to pass the largest tax cut in Tennessee history.
Sen. Southerland says the sales tax holidays are intended to provide relief to Tennesseans amid rising inflation and food costs.
“I am proud to support these historic tax cuts that enable Tennesseans to keep more of their hard-earned money and provide financial relief as the cost of goods continues to rise due to inflation,” said Sen. Southerland. “The upcoming sales tax holiday for unprepared food and food ingredients is one way we can help relieve Tennessee families at the grocery store. In addition, I am pleased to announce the continuation of the annual sales tax holiday that will help families, students, and teachers save money in preparation for the school year.”
The state’s annual back-to-school tax-free weekend runs from Friday, July 28 through Sunday, July 30 and provides $10 million tax cut. Eligible purchases include clothing and shoes valued at $100 or less, school or art supplies costing $100 or less and computers for personal use priced at $1,500 or less.
The three-month-long grocery sales tax holiday from Aug. 1 through Oct. 31 applies to food and food ingredients. However, it does not include prepared food, alcohol, dietary supplements, tobacco or candy. The state will replace local revenue lost, so local governments’ budgets will not be affected by this tax reduction.
The Tennessee Works Tax Act provides more than $404 million in savings for families and small businesses. These reforms will lower the tax burden on small businesses, boost Tennessee’s economic competitiveness, encourage entrepreneurship and provide financial relief for families amid rising food costs.
The Tennessee General Assembly has cut more than $2.4 billion in state taxes since 2011. For information about the sales tax holidays for 2023 and a complete list of exempt and non-exempt items, visit http://www.tntaxholiday.com.
