During this period, nearly all goods priced at $500 or less will be exempt from sales tax with a few exceptions.

Frequent Tax Scenarios and How to Treat Them

• If taxable and exempt items are sold together for one non-itemized price, the full amount is taxable.
• Items normally sold as a unit cannot be split and priced individually during the tax holiday.
• To qualify, items must be ordered, paid for, and the order processed during the holiday—but can be shipped later.
• For bundled shipments tax must be charged on the portion of shipping attributed to taxable items, based on their share of the total price.
• No sales tax should be charged if a qualifying purchase is exchanged for the same item after the holiday. If exchanged for a different item, tax must be charged.
• For a pre-holiday purchase returned during the holiday, no sales tax should be charged for a new eligible item. The tax originally paid must be refunded.

Please select this link to read the complete article from OSAP Mission Partner Clark Schaefer Hackett (CSH).