Alabama Preparing for Second Sales Tax Holiday Weekend

MONTGOMERY, Ala. (AP) - Alabama will observe its second sales tax holiday weekend on August third through fifth.

Retailers say they are extending hours, scheduling extra workers and planning special sales based on the success of the first sales tax holiday weekend in 2006.

Lynne Dickerson, marketing director for Wiregrass Commons Mall in Dothan, says last year's sales tax holiday was like the day after Thanksgiving and the mall is expecting it to be bigger this year.

For this year's weekend, the state is waiving its four percent sales tax. In addition, more than 220 cities and counties are waiving all or part of their local sales taxes.

Items covered by the sales tax waiver are clothing priced at 100 dollars or less, school supplies priced at 50 dollars or less, books valued at 30 dollars or less, and computers and computer equipment selling for 750 dollars or less.

The Legislature started the sales tax holiday weekend in 2006 to help parents with back-to-school purchases, but anyone can buy items covered by the sales tax waiver.

State Revenue Commissioner Tom Surtees says Alabama's sales tax collections actually increased last August because shoppers bought both tax-free and taxed items.

(Copyright 2007 by The Associated Press. All Rights Reserved.)

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