Gov. Evers eliminated the short-lived law after just one year.
In 2018, then-Gov. Scott Walker signed a law turning the two-day sales tax holiday into a five-day event. The law allowed for certain products to be exempt from the state’s five percent sales tax and saved families $15 million during the back-to-school shopping season, according to the Department of Revenue.
However, after Gov. Tony Evers’ decision to eliminate the sales tax holiday, both shoppers and small business owners missed out on savings and sales this year, arguing that parents would purchase the necessary supplies regardless of tax incentives.
Last year, a total of 19 states participated in back to school sales tax holidays. This year, only 16 states offered sales tax holidays. NFIB is supportive of a sales tax holiday since it can help drive sales to brick and mortar Main Street retailers.
“The sales tax holiday applies to Main Street as well as the mall,” says Ben Homeyer, NFIB’s South Carolina State Director, a 2019 participating state. “When you combine the sales tax holiday with the usual back-to-school deals, you really put people in the mood to shop, whether they’re shopping for their kids or grandkids or shopping for themselves. Plus, when you shop small, you’re supporting your friends and neighbors. You’re supporting the businesses that support local charities and youth sports and keep our communities strong and economically healthy.”
