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Saturday, March 22

With rebate checks in wings, some eye sales-tax holidays

By Jayne O'Donnell
USAToday.com

With federal tax-rebate checks set to go out this spring in an effort to bolster the sagging economy, lawmakers in some states and cities are pushing to create sales-tax holidays to encourage consumers to spend the money in stores.

Similar tax holidays were used last year by 15 states and the District of Columbia to stimulate the back-to-school season. Now, Illinois, Missouri and New York City are considering sales-tax holidays for the spring. Retailers hope that other states will introduce such bills this spring, says Maureen Riehl of the National Retail Federation. States that want to add spring tax holidays need to pass legislation.

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