Governor Perdue Participates in Tax-Free Holiday Events
| Friday, August 4, 2006 |
Contact: Office of Communications 404-651-7774
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Governor Perdue Participates in Tax-Free Holiday Events
School Teachers Use $100 Gift Cards to Purchase Classroom Supplies
ALPHARETTA, Ga. – Governor Sonny Perdue kicked off a tour of five cities today to mark Georgia’s tax-free holiday weekend by visiting The School Box on North Point Parkway in Alpharetta. Governor Perdue and a group of school teachers from Fulton County shopped for school supplies using their $100 Teacher Gift Cards.
“The tax-free holiday helps parents get their children ready to return to the classroom with the supplies they need to succeed,” said Governor Sonny Perdue. “Teachers also prepare for the upcoming school year by purchasing classroom supplies out of their own pocket. This $100 gift card is a small way to tell teachers we appreciate their hard work and personal investment in educating Georgia’s children.”
As Governor Perdue first announced in his State of the State Address in January, teachers are able to use their $100 gift cards during the state’s tax free holiday weekend to purchase classroom supplies for their students. The legislature supported the Governor’s budget request of $10 million to fund the cards. The Georgia Department of Administrative Services (DOAS) distributed approximately 115,000 Bank of America VISA debit cards to teachers throughout Georgia.
Later today Governor Perdue will travel to Columbus to visit the Office Depot on Sidney Simmons Boulevard; Albany to visit Hall School Supply on Gillionville Road; Augusta to visit the Office Depot on the Walton Way Extension; and Macon to visit Georgia School Supply on Mercer University Drive.
The 2006 tax-free holiday began at 12:01 a.m., Thursday, August 3, and continues until midnight, Sunday, August 6. It combines last year’s two tax-free shopping periods into one four-day period. Items that are sales tax free include schools supplies, clothing items, computers, computer accessories and certain Energy Star merchandise. All qualified items are exempt from both state and local sales tax during the four-day period.
School supplies bought for classroom use or classroom related activities are exempt if they cost $20 or less per item. Included in this area are pens, pencils, notebooks, paper, book bags, calculators, dictionaries, thesauruses, children’s books and books listed on approved school reading lists for pre-kindergarten through grade 12. Sales tax will be due on the purchase of any single school supply item that exceeds $20.
Clothing and footwear are exempt up to $100 per item, but there is no limit on how many pairs of shoes and clothing items an individual may buy. If the price of an article of clothing or pair of shoes exceeds $100, then the item will be taxed at its full retail price. Clothing accessories, jewelry, handbags, umbrellas, eyewear, watches, watchbands and similar items are not exempt from sales tax during the tax-free period.
Purchases of personal computers and accessories are exempt up to $1,500 per transaction. If the purchase exceeds $1,500, the entire purchase price is taxable. Items included in the personal computer exemption category include monitors, personal computer base units, keyboards, handheld computers, monitors, printers, modems, non-recreational software and other peripheral devices.
Personal digital assistants are exempt unless they allow voice communication. Other items that are not exempt include cell phones, digital cameras, furniture and any systems, devices, software or peripherals designed or intended primarily for recreational use.
Energy Star qualified merchandise includes windows, doors, dishwashers, clothes washers, air conditioners, ceiling fans, fluorescent light bulbs, dehumidifiers, programmable thermostats and refrigerators. The purchase of any exempted item can not exceed $1,500. If the price of an exempted item exceeds $1,500, the entire purchase price of the item is taxable.
The sales tax exemption on all qualified merchandise is intended only for individuals and their personal use. It does not apply to purchases made for resale, purchases by businesses, items leased or rented or items sold at sports facilities, theme parks, restaurants, public lodging establishments or airports.
Many Georgia retailers are partnering with the state to offer special discounts and promotions for teachers during the tax-free holiday. A list of these special promotions can be found at www.doas.georgia.gov.
Additional information and a comprehensive list of exempt items are available at any of the Department of Revenue’s regional offices or on the department’s Web site at www.dor.ga.gov. Individuals can also get information by calling (404) 417-6601 or via email at taxpayer.services@dor.ga.gov.
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