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Just days without state sales tax. Some states have them, some don't. A lot of the time local municipalities keep their ~1.5% sales tax on those days, so they see a pretty decent boost in revenue during them.
But doesn't it mean that people who can time their big purchases escape paying? I'm thinking yachts and cars and luxury stuff. I guess it depends on the state how much of the revenue comes from that. Interesting the effect on municipal revenue. I had never heard of it.
Believe it or not, no. The sales tax holidays are actually targeted on certain categories rather than across the board. Sales taxes (including Florida's) are regressive, but in this case the tourism situation actually makes it slightly less regressive.
So many tourism dollars flow through that with a 6% sales tax they get by with no income tax at all. Groceries are exempt from the sales tax, as are rentals of 6 months or longer - two major expense categories for lower incomes.
Unsurprisingly, the sales tax holiday dates come outside the November-April tourist season - with the exception of one of the back-to-school weeks.
Thanks for this, I just looked up the same thing