This bill reinstates the annual sales tax holiday for certain retail sales, specifically targeting computers, school supplies, school art supplies, school instructional materials, and sport or recreational equipment. The sales tax exemption applies to items sold to individual purchasers for non-business use during a designated annual exclusion period, which is defined as the time from 12:01 a.m. on the ninth day before the first Monday in September until 11:59 p.m. on that Monday. The bill specifies that computers priced under $3,000 and school computer supplies under $1,000 are included in the exemption, along with various school supplies and sport equipment.

The legislation also allows the Director of the Division of Taxation to adopt necessary regulations to implement the provisions of the bill, effective for up to 180 days after filing. This reinstatement comes after the previous sales tax holiday was repealed by P.L.2024, c.19, and the bill is set to take effect immediately, applying to retail sales made during annual exclusion periods that occur at least 30 days post-enactment.