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Sales tax holiday costs NC estimated $14.5 million

Posted August 11, 2011
Updated August 12, 2011

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— The annual sales tax holiday weekend, held Aug. 5-7, cost North Carolina about $14.5 million, a spokeswoman for the state Department of Revenue said Thursday.

The event – designed as a boost to retailers and parents shopping in the back-to-school season – allows shoppers to buy a long list of items tax-free, including clothing that's less than $100 per item, school supplies under $100, computer systems under $3,500, computer accessories less than $250 per item and sports and recreational equipment less than $50 per item.

Revenue spokeswoman Beth Stevenson said schools and teachers also take advantage of the tax holiday to stock up on supplies more cheaply since their budgets have been cut in recent years.

While some say they mark the dates of the sales tax holiday to enjoy the savings, the state budget takes a revenue hit.

Sen. Richard Stevens, R-Wake, suggested that the costs outweigh the benefits and the program should be re-evaluated.

"What does it mean for the economy of the state versus what does it mean for the loss of revenue? If it's more loss of revenue than gain, we ought not to continue the program," he said Aug. 2.

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  • Sundays Child Aug 17, 2011

    The tax holiday did not "cost" the government one cent. It SAVED the consumer 14.5 million. I still wonder how public education was funded before the "education lottery". That was supposed to end all of our money problems.

  • MECU0905 Aug 17, 2011

    My sister is a teacher and we go every tax free weekend because we get more bang for our buck, and are able to get more for her students. I think it is a great idea, and they shouldn't do away with it.

  • mountainboy92 Aug 12, 2011

    So tired of being taxed to death and I can barley aford to feed myself. But the Gov/State sees fit to take money out of my pocket to feed everyone else with my money. I applied for food stamps but they said I made too much?? I really don't understand. If the state would let me keep my own money I worked for, I wouldn't need any assistace to live off of.

  • hollymic Aug 12, 2011

    I don't know about anyone else's school but on my daughter's school supply list the teacher has a wish list. This tax money that everyone saved could have went to all the teacher's wish list for the whole state. Or for the stuff they ACTUALLY need.

  • Alex25 Aug 11, 2011

    Concerned about education? I am concerned with the public education cartel monopoly - and our flat or declining test scores and results...and we spend more tax $$$ than any other country.............

    Education is not about money or more money.....not at all.

  • Concerned about education Aug 11, 2011

    What would have helped those children more than the $.70 saved on a new notebook would have been the hundreds of teaching positions that kind of money would save!

  • Alex25 Aug 11, 2011

    All monies come from and originate from the private sector - me & you - ergo - there is NO cost to govt..........uggghhhhh

  • BlancheDancing Aug 11, 2011

    It doesn't COST the state anything. It's NOT the states money, it's OUR money!

    People forget that taxation takes money that they earned out of their paycheck ....
    RKBA

    AMEN!! It put 14.5M into the hands of local businesses that keep local PEOPLE employed!!

  • Suasponte Aug 11, 2011

    I'm sorry maybe I missed it in the article. To whom did the state write a check in the amount of $14,500,000? I know that MY money was taxed by the state when I was initially paid, again from any profit I made keeping it in my savings/checking account and again when I spent it on food. Same money, taxed 3 times. When I file my income taxes, they'll say they didn't get enough in their three prior attempts and demand more. Go bark up another tree Stevens. As a former Wake County manager, you took more than enough of my money in county taxes.

  • citizensoldier16 Aug 11, 2011

    "It doesn't COST the state anything. It's NOT the states money, it's OUR money!" ~RKBA

    EXACTLY!! They tax what you earn, and tax what you buy. Sounds like double dipping to me....always has. It's time for a tax-code revamping. Forget income tax - abolish it. A national sales tax is the way to go. Tax people on what they want...not what they produce!

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