Annual Sales Tax Exemption Event in Tennessee, 2025
Tennessee's 2025 Back-to-School Sales Tax Holiday: A Guide
In July 2025, Tennessee residents enjoyed a three-day tax break on select items during the annual Back-to-School Sales Tax Holiday. The event took place from 12:01 AM on Friday, July 25, to 11:59 PM on Sunday, July 27.
During this period, sales tax was exempt on qualifying items such as clothing, school supplies, and computers or tablets. Here's a breakdown of the eligible items:
- Clothing priced at $100 or less per item, including shirts, pants, socks, shoes, dresses, baby clothing, and more.
- School supplies priced at $100 or less per item, such as binders, backpacks, crayons, art supplies, calculators, lunch boxes, folders, and similar items.
- Computers and tablets priced at $1,500 or less for personal use, but accessories, software, flash drives, printers, printer ink, and paper were not included.
Some items were not exempt from the tax holiday, such as accessories (including sunglasses, wallets, and jewelry), paints and paintbrushes, printers, printer ink, printer paper, computer software and flash drives, goggles (safety and sports), wetsuits, and cleated or spiked footwear.
The Back-to-School Sales Tax Holiday was particularly impactful due to Tennessee's high state sales tax. However, it's important to note that this is the only tax-free holiday that Tennessee holds. The state does not have an income tax.
Both in-store and online purchases qualified for the tax exemption, as long as they met the criteria and were not intended for business or trade. Online purchases made at retailers like Amazon or Office Depot might have qualified, as long as they were ordered and paid for during the sales tax holiday, delivered to a Tennessee address, and not for business or trade.
For more information on the Tennessee tax-free holiday, visit the state's website. A comprehensive list of qualifying and non-qualifying items can be found on the Tennessee Department of Revenue's website, and additional guidance is available through direct contact.
Individual school supplies must not have exceeded $100 during the tax-free weekend, and each article of clothing purchased must have cost $100 or less. It's essential to check the price of each item before making a purchase to ensure eligibility.
The 2025 sales tax holiday in Tennessee has now ended, but a list of all back-to-school tax holidays can be found in Kiplinger's report "Summer 2025 Back-to-School Tax-Free Weekends Are Starting Now." Stay tuned for more information on future sales tax holidays in Tennessee.
During the 2025 Back-to-School Sales Tax Holiday in Tennessee, the purchase of personal-finance essentials such as wallets were not exempt from sales tax due to them being classified as accessories. Despite this, residents still benefited from the tax break on items like clothing, school supplies, and computers or tablets that met the price criteria.
