Shop Talk

Retailers, consumers and prices

Check Out Line: No tax = more shopping

August 11, 2009

rulersCheck out the tax-free shopping spree.

Many states that levy sales tax on clothing offer a short break on the tax in the summer, which, in turn, spurs back-to-school shopping.

Ten states, including Virginia, offered shoppers a chance to buy tax-free last weekend, with most states offering a tax break on clothing up to $100 per item, FBR Capital Markets noted in a new report.

Their analysts saw “some of the strongest” surges this year in customers visiting stores and buying.

FBR Capital Markets said Aeropostale and Gap’s Old Navy were among the few stores it saw actually advertising the three-day discount.  Others hoped to benefit from word-of-mouth.

The weekend came right after retailers, in general, posted a decline in July sales at stores open at least a year.  August’s same-store sales could get a boost since some tax-free weekends moved into August after landing in July last year.

Also in the basket:

CIT delays report, could have to file for bankruptcy

Ackman’s Pershing Square cuts stake in Target

U.S. Q2 online retail sales keep sliding, comScore says

(Reuters photo)

Comments

your blog is so nice about shopping baskets.Thanks.

 

Post Your Comment

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
  •