State Senator Johnnie Crutchfields legislation creating an Oklahoma sales tax holiday has cleared its first major hurdle, winning approval by the Senate Finance Committee.
A program like this is a shot in the arm for the economy. I believe the interest and economic activity it will create will result in the state coming out ahead, and I know it is something Oklahomans want and need, said the Ardmore legislator.
SB 816 by Sen. Crutchfield would authorize a three-day state sales tax holiday in Oklahoma, beginning the first Friday in August and ending the following Sunday. Most clothing and footwear purchases of up to $100 would be exempt from the state sales tax.
Designed to give families a break on back-to-school purchases, the sales tax holiday has also proven to be a boost for business in states such as Texas. Sen. Crutchfield noted that each year the Lone Star States tax holiday attracts thousands of Oklahoma consumers who are looking for a price break on their school shopping.
It makes no sense for Oklahoma businesses to lose all those customers to Texas. We can offer the same incentives, keep our shoppers home and help grow our economy, said Sen. Crutchfield.
We know were losing that business every August by the lines of cars heading to Texas. Were losing that tax revenue and watching Oklahoma businesses suffer at the same time. It makes more sense to keep those dollars here in our own state. Its going to help our citizens, our businesses, and eventually help those businesses grow.
Sen. Crutchfield filed similar legislation last year, but efforts to pass the tax holiday bill came up short. The Ardmore lawmaker believes he may have more success this year, saying the legislation could provide a much-need spark to the Oklahoma economy.
I know this year the legislature is going to be looking at every single penny in the budget. But I believe in the long run, this will generate even more dollars for our state, and thats money we can put back into our schools and other programs that will benefit all of us, said Sen. Crutchfield.
SB 816 will next be considered by the full Senate.