The rule that costs people money: the price limit is a threshold, not an allowance. There is no partial exemption. An item above the line is taxed on all of it.

Most coverage of tax-free weekend is a list of dates and a list of things. The dates are easy to find. What actually determines whether you save anything is three mechanical rules that almost nobody explains.

Rule 1: The Cap Is Per Item

People hear “under $100” and assume it is a spending limit — that once the basket passes $100 the exemption stops. It does not.

The threshold applies to each individual item. A $600 basket made of twelve $50 items is entirely exempt in Texas. A single $110 coat in the same basket is not.

Rule 2: It Is a Cliff

This is the one that stings. If an item costs $100.00 in a state with a “less than $100” rule, you do not pay tax on the one dollar over. You pay tax on the whole $100.

Item priceTaxed on
$99.99Nothing
$100.00The full $100.00
$104.00The full $104.00 — not the $4

Which means a retailer knocking a $104 item down to $99 is not giving you a $5 discount. At 8.25% they are handing you roughly $13.

Rule 3: Shipping Counts Toward the Price

This is the trap of the online era, and it is the least-known rule of the three.

In Texas the threshold applies to the item’s total sales price — including delivery, shipping, handling and transportation charges. A $95 pair of jeans with a $10 shipping fee is a $105 purchase, over the line, and the whole $105 is taxable.

So on a marginal item, free shipping is not a perk. It is the difference between paying tax and not.

Do Online Orders Qualify At All?

Yes — and more generously than most people expect. What matters is when you pay, not when it arrives.

In Texas, if you order qualifying school supplies online and pay by card on Sunday 9 August, the purchase is exempt even if the items do not ship until 16 August and do not land on your doorstep until 20 August.

The Dates

State2026 datesNotes
Texas7–9 AugClothing, footwear, school supplies, backpacks under $100. Saves up to 8.25%.
Oklahoma7–9 AugClothing and footwear.
South Carolina7–9 AugClothing, accessories, footwear, school supplies, computers, printers and software.
Iowa7–8 AugClothing and footwear under $100 per item.
Illinois7–16 AugNot tax-free — rate cut from 6.25% to 1.25%.
Massachusetts8–9 AugNearly any tangible personal property for personal use, $2,500 or less.
Maryland9–15 Aug“Shop MD Tax-Free Week”.
Connecticut16–22 AugA full week, later than the rest.
Tennessee31 Jul – 2 AugAlready finished.
New Mexico31 Jul – 2 AugFinished. Supplies ≤$30, clothing <$100, computers ≤$1,000.
West Virginia31 Jul – 3 AugFinished. Clothing ≤$125, computers ≤$500, sports equipment ≤$150.

Caps and covered categories are set state by state and change from year to year, so check your own state’s official list before a big purchase. Texas publishes its full list at comptroller.texas.gov.

Massachusetts Is Playing a Different Game

Worth pulling out separately, because it is not really a back-to-school holiday at all.

Massachusetts exempts nearly any tangible personal property for personal use up to $2,500. Not just pencils and trainers — furniture, appliances, a television. If you live there and have been putting off a large purchase, that weekend is the one.

What Does Not Qualify (the Counterintuitive Part)

The exclusions in Texas follow a logic that is consistent once you see it, and baffling until you do: the question is whether the item is only usable for one specialised purpose.

QualifiesDoes not
Tennis shoes, jogging suits, swimsuits — wearable for ordinary useGolf cleats, football pads — worn only to play the sport
BackpacksFramed backpacks, luggage, briefcases, gym and duffle bags, computer bags, purses — even under $100

That second row is the one that catches families out at the till. A $40 backpack is exempt; a $40 duffle bag beside it is not.

Frequently Asked Questions (FAQ)

Is there a price limit on tax-free weekend?

Yes, and it is per item, not per receipt. Texas and Iowa use under $100; Massachusetts allows up to $2,500.

What happens if an item is over the limit?

The entire price is taxed — not just the amount above the cap. There is no partial exemption.

Does tax-free weekend apply to online orders?

Yes. What matters is when you paid. A Texas order paid for on 9 August qualifies even if it is delivered on 20 August.

Does shipping count toward the price limit?

In Texas, yes — the threshold applies to the total including delivery, shipping and handling. $95 plus $10 postage is a $105 taxable purchase.

What is not included in tax-free weekend?

In Texas: framed backpacks, luggage, briefcases, gym and duffle bags, computer bags and purses, plus sport-specific gear like golf cleats and football pads — regardless of price.

Texas dates, the $100 threshold, the treatment of delivery charges, the online-order timing rule and the qualifying and excluded item categories per the Texas Comptroller of Public Accounts and Texas news coverage, August 2026. Dates for other states per published 2026 sales tax holiday schedules. Rules, caps and covered categories are set individually by each state and change year to year — check your own state’s official list before relying on this. Photo: the interior of Hamilton Place Mall, Chattanooga, Tennessee, by Harrison Keely, CC BY 4.0 via Wikimedia Commons, cropped.