This bill proposes an amendment to Minnesota Statutes 2024, section 297A.68, by adding a new subdivision that establishes an annual tax holiday for school supplies. The tax exemption will apply for the seven days leading up to Labor Day, allowing individuals to purchase school supplies without sales tax, provided that each item is valued at a specified amount or less. The bill defines "school supplies" to include a variety of items such as pencils, notebooks, calculators, and book bags, while explicitly excluding certain products like stationery not primarily used for school work and backpacks meant for hiking.

Additionally, the bill specifies that the new tax holiday will take effect for sales and purchases made after June 30, 2025. This initiative aims to alleviate the financial burden on families preparing for the school year by making essential school supplies more affordable during the designated tax holiday period.

Statutes affected:
Introduction: 297A.68