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No More State Supported Tax Free Back To School Sales in North Carolina
For the first time in 12 years, parents or guardians in the Tar Heel state who have students heading off to school will pay tax on their back to school purchases, unlike neighboring states.
North Carolina merchants that are located adjacent to neighboring states are expressing concern that their customers may be heading across the line for their back to school needs.
Virginia, Tennessee and South Carolina continue to offer the popular sales tax holiday.
The North Carolina Legislature stopped the tax free holiday effective this year.  The holiday is usually held the first weekend in August and had been the law since 2002. Gov Pat McCrory signed the legislation effective 2014.
At least one Elizabethtown merchant, Ricky Leinwand, has promised to pay the taxes on back to school sale items for his customers.
Tax Free items covered vary from state to state:
Virginia, items covered includes clothing and school supplies,
South Carolina tax free items include clothing, school supplies, computers and more.
Tennessee's tax free purchases include clothing, school supplies and computers.
A spokesman for the North Carolina Department of Revenue was quoted as saying the holiday cost the state an estimated $13.3 million in 2013.  
Amy Auth, a spokesperson for Senate majority leader Phil Berger was quoted in 2013 as saying, "our overall tax plan reduces the state income tax significantly, which means everyone will have more money in their pockets day to day."  
Andy Ellen, President of the North Carolina Retail Merchants Association said, "getting rid of the sales tax holiday might move sales out of the state or online."  Ellens was quoted as saying it was, "the only weekend of the entire year that the local North Carolina retailer was playing on a level field with the Amazon.coms,....North Carolina's going to lose some of the purchases."
One thing is certain, Bladen County merchants will be holding Back To School Sales the first weekend in August, tax free or not..

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