Maryland’s annual Tax-Free Week excludes backpacks, includes lingerie
August 6, 2015 by admin
Filed under Latest Lingerie News
BALTIMORE – Everybody loves a deal. No taxes on top of a sale, even better.
“It’s definitely nice on the wallet,” said Ellie Maclaughlin, a shopper in Hampden.
Maclaughlin joins other anxious shoppers in Maryland who plan to buy when the sales tax is dropped for a week. It starts on Aug. 9 and runs through the following Saturday.
“We see an uptick in business and I think it’s also good for the customers because they take advantage of the savings,” said Priya Rayadurg, who owns Cloud 9 Clothing with her husband.
The couple welcomed in the tax man, Maryland Comptroller Peter Franchot, who says the state sees a 10 percent increase from sales tax, even though many items are exempt.
When asked why backpacks aren’t tax-exempt, Franchot said “well, they should be and frankly I think we could benefit from expanding the list considerably.
“But the reason it’s not is it was somewhat of a novel idea back in 2007. Only I think 15 or 16 states have this or some version of tax-free,” he said.
A look at the list online tells us you’ll still have to pay a 6 percent sales tax on backpacks, but adult diapers, baby diapers, lingerie and even bridal gowns are exempt, as long as they are sold for $100 or less.
“They probably should, based on the popularity and success, examine it this year and broaden it,” Franchot said.
Lawmakers would have to agree on an updated list of shoes and clothing.
“It is August and kids are going back to school, so I think that more people right now would be buying backpacks,” Maclaughlin said.
Internet sales are also included during the tax-free week, as long as it’s a Maryland-based company. That includes Amazon, and the comptroller said shoppers would be stunned to learn how much revenue the distribution center in Baltimore is bringing in, but he wouldn’t give up a number.
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