ANNAPOLIS - Shopaholics, take note.
Families preparing to send their children back to school next fall could get a break from the state if the General Assembly approves a bill to offer a tax holiday on clothing purchases in August.
Sponsored by Del. Jean Cryor, R-Montgomery, the bill would allow shoppers to purchase items of clothing or footwear within state enterprise zones without paying the state's 5 percent sales tax from Aug. 24 through Aug. 28 - so long as the taxable price of the purchase is less than $100.
"I'm a veteran shopper, so I could be an expert witness on this," Cryor said.
She called the tax break a "paperless coupon."
A similar tax-free week in 2001 likely cost the state about $5 million in sales tax revenue, according to the Comptroller's Office. Nevertheless, Comptroller William Donald Schaefer supported the bill this week, saying businesses would profit by keeping sales in Maryland that otherwise would be lost to neighboring states that do not charge sales taxes on clothes.