Today and tomorrow, Louisianans will be able to purchase school supplies and other items at a reduced state sales tax rate of 3%, compared to the normal 5%. National Federation of Independent Business State Director Dawn Starns says she hopes small businesses will see an increase in business but it was more beneficial for retailers when the law allowed for tax free weekend.
“Retailers have looked forward to it in the past because it was a little bit easier to implement and easier for consumers to understand and the fact is now it’s not a sales tax holiday, it’s a discount.”
Starns says it’s difficult for retailers to get the message out to shoppers about the discount. She says they are disappointed to see what this holiday has become as it was so successful in the past.
“It doesn’t drive consumers to the stores the way the whole idea of a true sales tax holiday used to, folks love to have a holiday from taxes.”
Starns says some small businesses are promoting this weekend the best they can. She says they hope legislators will one day change it back so consumers can have a couple of days to purchase items tax free.
“We truly hope that we’ll get to making some changes to truly streamline it and make it something that is of value to both retailers and the consumer.”