OHIO — Just in time for back-to-school shopping, Ohio’s sales tax holiday is back this coming weekend, and has been made a permanent fixture for the first Friday, Saturday and Sunday of August in future years.
Am. Sub. House Bill 49 enacted the sales tax holiday to occur only in 2018. The holiday starts on Friday, Aug. 3, at midnight, and ends on Sunday, Aug. 5, at 11:59 p.m.
During the holiday, the following items are exempt from sales and use tax:
•Clothing priced at $75 per item or less;
•School supplies priced at $20 per item or less; and
•School instructional material priced at $20 per item or less.
Items used in a trade or business are not exempt under the sales tax holiday.
“Clothing” is defined as all human wearing apparel suitable for general use. “Clothing” includes, but is not limited to, shirts; blouses; sweaters; pants; shorts; skirts; dresses; uniforms (athletic and nonathletic); shoes and shoe laces; insoles for shoes; sneakers; sandals; boots; overshoes; slippers; steel-toed shoes; underwear; socks and stockings; hosiery; pantyhose; footlets; coats and jackets; rainwear; gloves and mittens for general use; hats and caps; ear muffs; belts and suspenders; neckties; scarves; aprons (household and shop); lab coats; athletic supporters; bathing suits and caps; beach capes and coats; costumes; baby receiving blankets; diapers, children and adult, including disposable diapers; rubber pants; garters and garter belts; girdles; formal wear; and wedding apparel.
“School supplies” include only the following items: binders; book bags; calculators; cellophane tape; blackboard chalk; compasses; composition books; crayons; erasers; folders (expandable, pocket, plastic, and manila); glue, paste, and paste sticks; highlighters; index cards; index card boxes; legal pads; lunch boxes; markers; notebooks; paper; loose leaf ruled notebook paper, copy paper, graph paper, tracing paper, manila paper, colored paper, poster board, and construction paper; pencil boxes and other school supply boxes; pencil sharpeners; pencils; pens; protractors; rulers; scissors; and writing tablets.
Items not included in this list are taxable. “School supplies” does not include any item purchased for use in a trade or business.
Sub. S.B. 226 provided for a permanent sales tax holiday on the first Friday, Saturday, and Sunday of August each year.
According to research by the University of Cincinnati commissioned by the Ohio Council of Merchants, consumers in Ohio saved $3.3 million in taxes in 2015, having bought $46.75 million worth of back-to-school items.