Sales Tax Slice: Will Tax Holidays Encourage Greener Appliance Choices?


Maryland is among what appears to be a growing number of states using sales tax holidays to encourage greener purchases.  At least half a dozen others, including Texas, Virginia, Florida, Missouri, North Carolina, and Georgia, have offered such holidays, allowing consumers to purchase Energy Star-certified products tax-free for as much as one weekend per year. 

This Valentine’s Day, Maryland will be administering its fifth annual Energy Star sales tax holiday.  Mid-Atlantic-staters seeking last-minute gift ideas may wish to consider one of the following Energy Star products for their sweetheart this year:  

•    Air Conditioners
•    Washers
•    Dryers
•    Furnaces
•    Heat Pumps
•    Boilers
•    Refrigerators
•    Dehumidifiers
•    Programmable Thermostats
•    Compact Fluorescent Light Bulbs
•    LED Light Bulbs


Any of these items may be purchased in Maryland tax-free this Saturday through Sunday.  

Notably, Maryland now provides a perennial exemption for purchases of solar water heaters. These could previously only be purchased tax-free during the sales tax holiday.  

by Hunter Ernst

Continue the discussion on Bloomberg BNA’s State Tax Group on LinkedIn: To what extent do sales tax holidays sway consumers’ purchasing choices? Couldn’t Maryland’s Energy Star holiday have been better timed to coincide with Earth Day?  

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