Tax holiday for shoppers begins today
Georgia shoppers will not be burdened by state or local sales taxes on certain purchases today and Saturday, said Charles Willey, director of public information for the Georgia Department of Revenue.
The tax-free holiday is the first of its kind in the state’s history.
“Sales tax will not be charged on certain types of clothing, footwear, school supplies and computer products,” said Bennie Butler, office manager of the Albany Department of Revenue regional office.
Rusty Heery, owner of Heery’s Clothes Closet located in downtown Athens, said his business has a radio advertisement on the air informing its customers about the holiday.
He said he is unsure, though, of what the turnout will be for Heery’s this weekend.
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“I really don’t know,” Heery said. “I guess we’ll have to wait and see. Since it is Easter weekend, we’ll be busy anyway.”
Another business representative said he probably would not see an influx of customers this weekend.
“We don’t expect a whole lot of change,” said Chris Milner, textbook manager of the Off Campus Book Store on Baxter Street. “We maybe will see one or two more people.”
He said they had not been advertising the sales tax holiday to customers.
Sales tax will not be charged on clothing and footwear products costing $100 or less per item and on school supplies $20 or less per item. There is no limit to the number of items that can be purchased tax free, Butler said.
Sales tax also will not be charged on computer products costing $1,500 or less. And computer accessories — such as modems or printers — are only tax free if purchased with a base unit, such as a desktop or laptop, he said.
“The governor believes this tax-free holiday will give immediate relief to Georgia shoppers,” Willey said. “He’s looking at trying to assist families and individuals who may need help at this time.”
Kevin Johnson, president of the Athens Chamber of Commerce, said he agreed.
“The holiday is a good idea in that it provides opportunities for Georgia consumers,” Johnson said. “It will be interesting to see how it all works out when the receipts are counted on Sunday.”
Johnson said the tax-free holiday may be an answer to neighboring states’ similar programs.
“I also believe it is a response to other states who have already had these type of holidays,” he said. “It is an effort to retain Georgia business.”
South Carolina and Florida held tax-free holidays last year, Willey said.
Greg Trandell, a University associate professor of economics, said he does not approve of the tax-free holiday.
“I think it would be better if every state wouldn’t create these holidays,” he said. “But since they do, the other states have to compete. South Carolina and Florida already have these holidays, so I think the Georgia state government is trying to keep Georgia shoppers in Georgia.”
Trandell also said other factors may be the reason for the holiday.
“The economy was in a slow down for a while, so the tax-free holiday encourages people to spend,” he said. “Also, when the next tax-free holiday occurs in August, it will only be three months from the election.”
– Contributing: Amber Billings
