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July 20, 2009
District of Columbia Repeals August Sales Tax Holiday

(Washington DC) Legislation has been enacted to repeal the District of Columbia’s August 2009 sales tax holiday. The repeal will avoid the loss of an estimated $640,000 in sales tax revenues in the current fiscal year.

Merchants who have participated in the sales tax holiday previously need to be sure that their point of sale equipment is programmed to collect the tax this year and that they not advertise a tax sale holiday to customers.

In prior years, the August sales tax holiday provided a nine-day exemption from the 5.75 percent sales tax on purchases of clothing, accessories, shoes and school supplies for $100 or less.