Sales tax holiday set for July 19-21

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Photo by Karim Shamsi-Basha.

Alabama launched its Back-to-School Sales Tax Holiday in 2006. 

Mountain Brook, according to City Finance Director Steve Boone, has participated since 2007. That streak will continue this year. 

From July 19 to 21, customers can shop in Mountain Brook stores without paying the 9% sales tax that they normally would. The tax break encourages summer spending and provides relief for families as they gear up for the coming school year. 

“In today’s economic times, people are going to pay attention to what they’re spending,” Mountain Brook Chamber of Commerce Executive Director Suzan Doidge said, “and if you can get a discount or if you can get something tax-free, you’re probably more prone to participate in whatever that sale is.”

According to the Alabama Department of Revenue, items that qualify for the sales tax exemption include apparel less than $100 per article of clothing; computers, computer software and school computing supplies less than $750; books less than $30; and other assorted school supplies, school art supplies and school instructional supplies less than $50. 

Furniture, handbags, jewelry and other clothing accessories, along with protective and recreational equipment, are among the items that don’t qualify for the exemption. 

The sales tax holiday falls on the same weekend as Market Day in Mountain Brook Village — July 20 — for the second straight year.

Historically, Boone said he doesn’t know if the city’s participation in the holiday has boosted sales at local retailers.

“I can tell you that we don’t see an appreciable reduction in our sales,” Boone said. “I would suspect that it’s a good event. There’s just no way to measure the economic impact, positive or negative.”

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