If you’re looking to save some extra money, the Ohio Sales Tax Holiday is back once again for 2025, allowing shoppers “to make qualifying purchases both in-store and online without paying state sales tax.”
“The timing of this year’s sales tax holiday not only supports families preparing for back-to-school, but also provides relief on other important household needs,” Ohio Gov. Mike DeWine said in a press release earlier this year.
So what’s included and exempt during Ohio’s 2025 Sales Tax Holiday?
“Almost all tangible personal property priced at $500 or less is tax-free,” according to Gov. DeWine’s office.
Need examples? Here’s a list from the Ohio Department of Taxation of some items that will be tax-free during this period:
- Electronics: Computers, televisions and other gadgets
- Clothing: Any apparel items
- Books: All types, including novels and textbooks
- Home goods: Furniture, kitchenware and home décor
- Plants: Indoor and outdoor plants
- Sporting goods: Equipment and apparel for sports
- Food and beverages: Dine-in food, dietary supplements and soft drinks
“Many other items will also be exempt from sales tax during this period,” according to the Ohio Department of Taxation.
WHAT ITEMS ARE EXCLUDED?
The following items will still be taxed during the Sales Tax Holiday:
- Watercraft or outboard motors
- Motor vehicles
- Alcoholic beverages
- Tobacco products
- Vapor products
- Items containing marijuana
WHAT ABOUT ONLINE SHOPPING?
Yes! Qualifying items purchased online will also be tax-free.
Here’s how the Ohio Department of Taxation explains it:
“Qualified items sold to consumers by mail, telephone, e-mail or internet shall qualify for the sales tax exemption if the consumer orders and pays for the item and the retailer accepts the order during the exemption period for immediate shipment, even if delivery is made after the exemption period.”
Shipping and Handling
- If all items in a shipment qualify as eligible items and the sales price for each is within the sales tax holiday price threshold, the shipping and handling charges are not taxable.
- If the shipment includes exempt items and taxable items, the seller should allocate the shipping and handling charges by a percentage based on the total price of the taxable items to the total price of all the items in the shipment. The retailer must charge tax on the portion of the shipping and handling charges allocated to the taxable items in the shipment.
CAN A STORE / SELLER CHOOSE NOT TO PARTICIPATE?
No. The states says the sales tax holiday is set by law “and vendors must comply.”
WHAT’S THE $500 PRICE LIMIT?
Items selling for $500 or less will be tax-free.
“If an item sells for more than $500, tax is due on the entire selling price,” according to the Ohio Department of Taxation.
WHAT ABOUT EXCHANGES AND RETURNS?
Here are the three points you need to know from the Ohio Department of Taxation:
- If a consumer buys an eligible item during the sales tax holiday and later exchanges it for the same item, the retailer should not charge sales tax even if the exchange is made after the end of the sales tax holiday.
- If a consumer buys an eligible item during the sales tax holiday and returns the item after the tax holiday period for credit on the purchase of a different item, the retailer must charge sales tax on the sale of the newly purchased item, even if it would have been eligible for the exemption during the sales tax holiday.
- If a consumer buys an eligible item before the holiday period but returns the item during the sales tax holiday period and receives credit on the purchase of a different item of eligible property, no sales tax is due on the sale of the new item. The retailer must provide the consumer credit for both the purchase price and sales tax paid on the item being returned.
HAVE MORE QUESTIONS?
The Ohio Department of Taxation answers 31 total questions regarding the Sales Tax Holiday HERE.
