Governor Kay Ivey is encouraging Alabamians to take advantage of the upcoming sales tax holiday, which will begin this month, allowing students and parents to purchase school supplies without the usual 4% tax.
The holiday begins on Friday, July 17, and ends at midnight on Sunday, July 19. During that time, certain school and art supplies, as well as computers, books and clothing, will be tax-exempt.
This year, the dollar limit on exemptions for certain items has increased after actions taken by the Alabama Legislature in 2025, a move Ivey said “modernized” the process.
“Quality education is essential to continuing the historic momentum that Alabama is experiencing,” Ivey said. “Successful students need to be properly equipped for the classroom, and this tax-free weekend makes school supplies more accessible to families across our state. An investment in our students is an investment in the future of Alabama.”
For clothing, the new exemption limit is $156 or less, up $56 from last year. For school supplies, the limit is $78 or less, up from $28. The limit for a single purchase of computers or other electronic devices is $1,173 or less, up $425. The limit for books is $47 or less, while textbooks have a higher limit of $78; both are up from $30 the previous year.
“We’re excited for this tax-free opportunity allowing Alabama families to save their hard-earned money while helping students get what they need for school,” said state Department of Revenue commissioner Mary Martin Mitchell. “ALDOR encourages everyone in Alabama to make the most of this tax-free holiday, and we look forward to the great things students will accomplish this school year.”
In addition to the state tax, more than 300 cities and counties across the state are waiving their local sales taxes for the same period. A full list of participating counties and municipalities can be found here.
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