Stores, Shoppers Gear Up For Tax-Free Holiday
Restrictions Apply To Cars, Meals
POSTED: 7:18 am EDT August 15,
2008
UPDATED: 8:35 am EDT August 15,
2008
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BOSTON -- Local shoppers are getting ready for some savings as Massachusetts' tax holiday officially begins this weekend.
VideoNewsCenter 5's Steve Lacy reported that retailers are hoping the weekend will help kick-start the back-to-school shopping season and give local stores a boost during what is typically a quiet sales period of the year.During the previous four sales tax holidays, businesses have reported a sharp jump in sales, with electronics and furniture stores doing particularly well with shoppers waiting for the tax break to save on big ticket items.While the 5 percent tax break applies to most items, there are exceptions, including meals, tobacco products, utlities, cars, boats and anything over $2,500 in value.This year's tax holiday almost didn't happen. As recently as June, House Speaker Sal DiMasi said the state could not afford to part with the revenue it will lose as a result of the holiday.Others say it's a gimmick and only forces people to change when they decide to buy more expensive items.Shoppers have racked up more than $58 million in savings since the tax holiday was first instituted in 2004. The state Department of Revenue estimates shoppers will save another $16 million this year.
VideoNewsCenter 5's Steve Lacy reported that retailers are hoping the weekend will help kick-start the back-to-school shopping season and give local stores a boost during what is typically a quiet sales period of the year.During the previous four sales tax holidays, businesses have reported a sharp jump in sales, with electronics and furniture stores doing particularly well with shoppers waiting for the tax break to save on big ticket items.While the 5 percent tax break applies to most items, there are exceptions, including meals, tobacco products, utlities, cars, boats and anything over $2,500 in value.This year's tax holiday almost didn't happen. As recently as June, House Speaker Sal DiMasi said the state could not afford to part with the revenue it will lose as a result of the holiday.Others say it's a gimmick and only forces people to change when they decide to buy more expensive items.Shoppers have racked up more than $58 million in savings since the tax holiday was first instituted in 2004. The state Department of Revenue estimates shoppers will save another $16 million this year.Copyright 2009 by TheBostonChannel.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
