Tax-free weekend has its perks & drawbacks

HADLEY, Mass. (WWLP) - Stores are stocking up as shoppers gear up to spend money this weekend. But not all purchases are tax exempt. 

The exemption applies to sales of personal property bought for personal use. But having a threshold of $2,500 is not the only rule. 

For next two days, shoppers in Massachusetts will save 6.25% on most purchases. The holiday prompted one Easthampton woman to replace her 25-year-old fridge.

“I'm with a friend that I help out three days a week and we are here to upgrade her refrigerator. [We are spending] a little over a $1,000 we'll save about $300,” said Corrine LaRock. 

But, there are exclusions to this tax free weekend. Shoppers will not save on tax if they buy a car, a motorboat, meals, gas or tobacco. There's also a 2,500 cap on all purchases.

For example, when the sales price of a single item exceeds 2,500, consumers will need to pay the sales tax on the entire price charged for the item, not just the amount that exceeds the 2,500.

“A lot of people are buying kitchen packages and they might add up to five, six, ten thousand dollars but as long as each item you buy is under 2,500 you are ok,” said Monte Newman, store manager at Manny’s TV in Hadley. 

Newman told 22News the two days will bring in at least two months worth  of sales for the appliance store.  But some shoppers are not convinced the holiday is sticking it to the tax man.

“I don't want to come if there's 100,000 people here, for $25 or whatever, it's not worth it,” said Aurelia Sudnick of Easthampton.

The tax-exemption also applies to online purchases.