Tax & Accounting Blog

September Sales and Use Tax Rate Changes

Indirect Tax, Transaction Tax August 24, 2010

It’s that time of the month again to take a look at the sales and use tax changes happening in September.  This month there are only a few states with rate changes but we do have some Sales Tax Holidays to report.  In August we had many states participate in Back To School Sales Tax Holidays.  In September there are a few Sales Tax Holidays giving shoppers the ability to make certain purchases tax free.

Pinson City – 2.0% sales and use (New Levy)
Creola City – 4.0% sales and use; Creola police jurisdiction – 2.0% sales and use
Douglas City – 3.0% sales tax only (effective 8/1/2010)
Elba City – 4.0% sales and use, 2.0% rental sales and use; Elba police jurisdiction – 2.0% sales and use;

Florence City – 3.0% use tax and rental use tax only

Haskell County – 1.5% sales and use

Sales Tax Holidays

Kenai Borough, Alaska
There will be an exemption for the Borough of Kenai, Alaska from sales tax on non-prepared food from 1 September 2010 to 31 May 2011. The city of Homer is participating in this holiday exemption.  This Sales Tax Holiday does not apply to all food items sold by restaurants and restaurant type sellers and all prepared foods.

Wrangell, Alaska
On 11 September 2010, the city of Wrangell, Alaska will grant sellers the opportunity to participate in a Sales Tax Holiday. The Sales Tax Holiday will exempt purchases of all tangible personal property and services, excluding rentals.

West Virginia
West Virginia is having a Sales Tax Holiday from 1 September 2010 to 30 November 2010 on non-business purchases of Qualified Energy Star Products costing $5000 or less per item. The Sales Tax Holiday does not apply to business transactions in West Virginia. For business transactions, the full respective tax rates are applicable.

Stay tuned for the upcoming October sales and use tax changes next month.  There are sure to be a lot more rate changes in October because we tend to see a high volume on the quarter months.