Are you Ready for the New Mexico Tax-Free Weekend?
Coming soon to a retail location near you is the annual New Mexico Gross Receipts Tax Holiday, commonly knows as “tax-free weekend.” If you have school-age children, this is kind of a big deal. After all, a penny saved is a penny earned, right? Here’s what you need to know if you plan on shopping for school-supplies during the tax-free holiday:
Tick tock, tick tock
This is a three-day window of time beginning at 12:01 a.m. on August 2, 2019 and concludes on August 4, 2019 at midnight. Needless to say, you’ll want to get your game plan in place! Thinking of shopping before then to beat the back-to-school rush? You may want to reconsider. According to a recent survey, shoppers who tried to beat the back-to-school rush end up spending $100 more per household!
Watch your price points, especially on clothes and footwear
For clothing and shoes to be considered “tax-free, they must be priced at less than $100 per unit. However, there are categories other than clothing and shoes that qualify for the tax deduction. See a detailed list here.
Now is the perfect time to stock up (on qualifying items)
The number of items you can shop for tax-free is kind of shocking, and somewhat overwhelming. USB drives, tablets, and yes, even diapers qualify. However, there may be some items you think would qualify, but don’t; such as headphones. Again, refer to the list linked above in order to determine what’s exempt and what isn’t, so you avoid any surprises while shopping.
Compare before you shop
Stores oftentimes compete against each other during tax-free weekend. Like any other time, some stores have lower prices than others. This makes it important for you to compare prices before you shop, which allows you to save even more money.
Tax-free weekend is a weekend where New Mexicans can save on their back-to-school purchases. Take these tips along with you to ensure you’re utilizing all your saving opportunities.
RESEARCH SOURCES: Deloitte (2019 Back-to-School Shopping), New Mexico Taxation and Revenue Department