Sales tax holidays allow shoppers to buy certain items tax-free for a short period. More than 15 states have tax-free weeks or weekends this year, and Connecticut is no exception. (The state's sales tax holiday week starts Sunday, August 18.)
Here are a few things you need to know about the event.
Tax-free week in CT 2024
The sales tax holiday in Connecticut runs for a week from Sunday, August 18, to Saturday, August 24.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Connecticut Gov. Ned Lamont typically announces the annual sales tax holiday in early August. Last year, Lamont said the following in a release:
“This tax-free holiday is scheduled at the perfect time to help families stretch their dollars during the back-to-school season while also giving businesses an extra boost to their bottom line.”
Gov. Lamont has also encouraged Connecticut residents to shop at locally-owned retailers and support the small business community.
During Connecticut's sales tax holiday, clothing and footwear items under $100 are exempt from state sales tax. This means you can buy multiple eligible items under $100 in a single shopping trip or on one receipt without paying state sales tax.
What’s included in tax-free week in Connecticut?
A wide variety of clothing and footwear are exempt from state sales tax during Connecticut’s tax-free week. Kiplinger has reported on items that usually qualify as tax-exempt. (This is not an all-inclusive list.)
- Hats, gloves, and earmuffs
- Jeans, dresses, shorts, and shirts
- Socks, sneakers, and slippers
- Rented uniforms, work clothes, and formal wear
- Undergarments, robes, and swimsuits
Note: Several items are still taxed during the tax-free week, like handbags and purses, jewelry, wallets and other accessories, and many sports equipment and supplies. For a complete list of what’s tax-free during Connecticut's 2024 sales tax holiday, visit the state Department of Revenue website.
CT sales tax for 2024
The sales tax rate in Connecticut is currently 6.35%. That rate typically applies to clothing and prepared food. (The state exempts groceries and most medications from sales tax.)
Data show that during summer, families spend an average of more than $800 on back-to-school supplies and clothing. Some policymakers debate whether sales tax holidays are the most effective way to support families and individuals. But sales tax discounts can benefit some shoppers, which is a reason why the events are popular.
Does Connecticut tax-free week apply to online purchases?
The short answer is yes — online purchases of items under $100 are exempt during Connecticut’s sales tax-free week. However, you must pay for the items in full when you place your online order. For more information, see Connecticut’s sales tax holiday guide.
Other tax relief: New tax cuts in Connecticut?
Connecticut sales tax-free week is just one form of tax relief in the state. Legislation signed by Gov. Lamont last summer has been described as the largest income tax cut in the state’s history.
The new Connecticut tax law reduces tax rates for middle-income families, increases the state’s earned income tax credit, and expands pension benefits for older adults. Income tax cuts in Connecticut became effective this year, 2024.
Related Content
-
Stock Market Today: Dow Adds 654 Points as 3M Stock Explodes HigherIt was a risk-on day for stocks thanks to an upbeat inflation reading and impressive earnings from 3M and Deckers.
-
3M Leads Dow Stocks After Massive Earnings Beat3M stock is headed toward its best day ever after the industrial conglomerate's impressive earnings report. Here's what you need to know.
-
IRS Ends Inherited IRA Confusion: Annual RMDs Required for ManyIRAs The agency has resolved a major point of uncertainty for inherited IRA beneficiaries.
-
$145 Million in ‘Senior Freeze’ Checks MailedProperty Tax What you need to know about New Jersey's property tax relief program for older adults.
-
TaxAct Class Action Settlement: Details to KnowTax Filing A multimillion-dollar settlement over alleged data privacy violations affects some TaxAct users.
-
An IRA Contribution Option You Might Not KnowIRAs Retirement savings might not have to take a back seat just because your partner doesn't earn income.
-
Project 2025 Tax Overhaul Blueprint: What You Need to KnowTax Proposals Some people wonder what Project 2025 is and what it suggests for taxes.
-
The Taxes That Come out of Your PaycheckPayroll Tax Your take-home pay is often less than expected due to several payroll tax withholdings you need to know.
-
Seven States Where Gas Tax Increased July 1Gas Taxes Since July has arrived, drivers in several states are facing a gas tax hike.
-
401(k) Withdrawal Penalty Rule Changes for 2024Tax Rules More people are taking early emergency withdrawals from retirement savings accounts. New rules might offer some relief.
