Connecticut Retailers Ready for Expanded Sales Tax-Free Week

Connecticut’s annual sales-tax-free week gets underway this weekend, running August 16-22, and retailers throughout the state are ready to welcome shoppers who would like to take advantage of the expanded savings provided by the State of Connecticut.

Under a revised law passed by the legislature this year, sales tax-free week in Connecticut applies to expanded variety of clothing, footwear, backpacks and school supplies priced up to $300. The previous limit for eligibility was $100. During the week, many retailers offer additional discounts, resulting in even more savings for shoppers.

Among the items eligible for purchase that will not be subject to state sales tax during the week are blouses, dresses, jeans, leotards, rain jackets, hiking boots, hats, jogging suits, shirts, sleepwear, slippers, sneakers, swimsuits, socks and leg warmers, boots, and – new this year - cleated shoes and backpacks.

A full list of eligible items is available on the website of the state Department of Revenue Services, at https://portal.ct.gov/drs/sales-tax/sales-tax-free-week, with a list of eligible clothing and footwear categories available here: https://portal.ct.gov/drs/sales-tax/examples-of-clothing-and-footwear-that-are-exempt-during-sales-tax-free-week

The exemption during Sales Tax-Free Week applies to each eligible item costing under $300, regardless of how many of those items are sold to a customer on the same invoice.This year will be Connecticut's 27th Sales Tax-Free Week.

Connecticut’s retail industry advocated for passage of the new law, and its stated purpose to increase the exception from the $100 level used in recent years, returning it to the original exemption of $300 when the state initiative began in 2000.Through the years, it has been repealed, reinstated, and now expanded.

“Connecticut retailers work diligently throughout the year to be responsive to their customers and provide outstanding customer service.Retailers are actively involved in their communities and play a pivotal role in the strength and vibrancy of the Connecticut economy,” said Timothy G. Phelan, president of the Connecticut Retail Network (CRN).“Tax-free week provides an opportunity for customers to save some money on purchases, which can be tremendously helpful especially for families preparing for the upcoming school year.”

The retail industry is among Connecticut's leading employers, an essential and fully integrated segment of the state's economy. Data indicates that Connecticut has nearly 42,000 retail establishments, supporting more than 470,000 jobs. Overall, the retail industry produces approximately 14% of Connecticut's total GDP.The overwhelming majority of retailers are small businesses, with more than 98% of all retail companies employing fewer than 50 people. More than 9 in 10 retailers operate in just one location.

Testifying in support of proposed Sales Tax-Free Week upgrades during the 2026 legislative session, CRN President Tim Phelan pointed out that it “would make a difference in family budgets, particularly as families navigate rising costs in so many areas of their lives, and uncertainties of the economy.”

He added that “This legislation is not complicated; it is straight forward.It gives families a break.It will help families balance their household budgets, making fundamental items more affordable.Particularly just before the start of the school year, when demands on family budgets tend to increase.”

The Connecticut Retail Network is a statewide trade association that represents Connecticut retailers at the State Capitol and in the marketplace. The association includes some of the world's largest retailers as well as the state's dynamic Main Street merchants.

To learn more about CRN, visit www.ctretailnetwork.com.