Update: The back-to-school Alabama sales tax holiday has ended.
The annual back-to-school Alabama sales tax holiday ran from 12:01 AM on Friday, July 19 until midnight on Sunday, July 21.
This meant that many purchases were tax-free in the state. Savvy shoppers saved on school items and supplies (not just for K-12 students) as well as necessities for the whole family. This was a big deal since Alabama has one of the highest sales tax rates in the United States.
But there were exclusions, and local sales taxes may still have applied.
When was tax free weekend in Alabama?
The annual back-to-school Alabama sales tax holiday ran from 12:01 AM on Friday, July 19 until midnight on Sunday, July 21. During this time, many types of school supplies (including computers and tablets) and clothing were exempt from Alabama’s usual 4% sales tax rate.
You could have saved even more if you shopped in a participating county (more on that below).
What was included in Alabama’s tax-free weekend?
Clothing was tax-free during the Alabama sales tax holiday (as long as each piece didn’t exceed $100). Tax-exempt clothing items included jackets, jeans, shoes, belts, hats, and more; and yes, diapers were included.
What clothing was not tax-free? A few items were not considered clothing. Here are a few examples of items you still had to pay tax on:
- Athletic gear (shin guards, shoulder pads, roller skates, athletic shoes or gloves)
- Jewelry, watches, and hair accessories
- Handbags
- Cosmetics (including makeup)
- Sunglasses, eyeglasses, and contacts (prescription or nonprescription)
- Belt buckles
A few eligible electronics and other school supplies were tax-exempt during the tax-free weekend. However, non-educational video games and computer parts that were sold separately did not qualify.
What electronics were included? Eligible purchases included computers and printer supplies (printer paper, printer ink) as well as flash drives and tablets.
- Purchases could not exceed $750.
- Items produced solely for recreation did not qualify.
What school supplies were tax-exempt? Almost all school supplies were fair game during the sales tax holiday. To qualify, each item must have cost $50 or less.
- Art supplies (paints, clay, drawing pads, scissors, etc.)
- Book bags, lunch boxes, binders, notebooks and folders
- Calculators and writing tablets
- Many books with a sales price of $30 or less, per book
- Required textbooks on an official school book list, with a sales price of more than $30 and less than $50
Note: Although many school supplies were tax-free, some were not. Items used for “clean room apparel and equipment” were not tax-free, including cleaning supplies, paper towels, and hand sanitizer.
Tax-exempt online sales shipped to Alabama
Some online purchases qualified for Alabama’s sales tax holiday weekend. However, items must have been delivered to an Alabama address to qualify.
Online retailers like Amazon honor state sales tax holidays. However, the retailer explains on its website that "tax may still be calculated on items if they do not qualify, which can include items over a certain threshold, bundles, or specific items that are not included in the holiday."
Local sales tax in Alabama
While many Alabama counties participated in Alabama’s back-to-school holiday, some did not. This means you may have still needed to pay local sales taxes on eligible items.
Here are a few localities that did not participate in 2024. (This is not an exhaustive list of non-participating counties, and the list may be different for 2025.)
- Attalla
- Blountsville
- Camden
- Escambia County
- Greene County
- Jemison
- Slocomb
Not all localities notified the state regarding participating in the tax holiday in 2024. For more information, visit the official back-to-school Alabama holiday website. Be sure to check back next year for 2025 participants.