Bill > H2551

This bill establishes a sales tax holiday for the weekend of August 13 and 14, 2016, meaning that an excise, which is a type of tax, will not be imposed on most retail sales of tangible personal property, which refers to physical goods. However, this exemption does not apply to certain items such as telecommunications, tobacco products, gas, steam, electricity, motor vehicles, motorboats, meals, or any single item costing more than $2,500. Vendors are prohibited from adding or collecting this excise tax from nonbusiness purchasers during these two days, and the commissioner of revenue, who oversees tax collection, will not require vendors to collect and pay the tax on these specific sales. While the sales tax is waived, vendors are still required to report their sales as usual, and the commissioner of revenue must report the amount of sales tax forgone and any new revenue generated by this act to the comptroller and legislative committees by the end of 2016. The commissioner of revenue is also authorized to issue necessary instructions or regulations to implement this act, and the eligibility for this tax holiday is limited to sales where possession is transferred or full payment is made on August 13 or 14, 2016, excluding prior sales or layaway arrangements.