(Washington, DC) The District government will have its sales tax holiday beginning 12:01 am Friday, November 23, through midnight Sunday, December 2. During the tax holiday, shoppers will be exempt from the District’s 5.75 percent sales tax. Specific items include clothes, shoes, and accessory items that cost $100 or less.
The sales tax exemption applies to each eligible item regardless of how many items are sold on the same bill to a customer. It also applies to layaway sales, if the retailer and customer enter into a layaway agreement or the customer makes the final payment on the layaway order during the exemption period.
Retailers who use the Sales-and-Use tax forms for filing their monthly or annual tax returns should enter the total amount of tax exempted because of the Sales Tax Holiday, along with any other exempt taxes on the sales tax portion of the return (line no. 13). Retailers are also encouraged to clearly state in their records the type of item sold and the sales price of tax-exempt merchandise sold during the Sales Tax Holiday period.
For more information about the Sales Tax Holiday, the public and businesses should call the Customer Service Center at (202) 727-4TAX (4829) or visit OTR’s website at www.taxpayerservicecenter.com under “Sales Tax Holiday.”