2021 House Bill 5176

Authorize back to school use tax “holiday”

Introduced in the House

June 29, 2021

Introduced by Rep. Matt Koleszar (D-20)

To authorize a use tax “holiday” on the third Saturday in August, during which use tax would not be imposed on purchases of school clothing items that cost less than $100 each, school supply items that cost less than $20 each, and a personal computer that costs up to $1,000. “Use tax” is levied on purchases from out of state vendors at the same 6% rate as the sales tax imposed in-state sales, but the revenue it collects is allocated to different state funds than sales tax.

Referred to the Committee on Tax Policy