Memphis’s tax-free weekend in 2026 runs from 12:01 a.m. Friday, July 31 through 11:59 p.m. Sunday, August 2. During those three days, shoppers pay no sales tax on qualifying clothing and school supplies priced at $100 or less per item, or on computers priced at $1,500 or less. That’s a 9.25% savings — 7% state tax plus Memphis’s 2.25% local rate — on every eligible purchase.1Tennessee Department of Revenue. Sales and Use Tax2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday
When the 2026 Holiday Starts and Ends
Tennessee law sets the holiday for the last full weekend of July every year, starting at 12:01 a.m. Friday and ending at 11:59 p.m. Sunday.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday For 2026, that lands on July 31 through August 2. The dates apply statewide, so Memphis follows the same schedule as the rest of Tennessee.
Timing is exact. Retailers stop collecting sales tax on qualifying items the moment the window opens and start collecting again the moment it closes. If your transaction timestamps after 12:01 a.m. Friday, it counts.
Online and mail-order purchases qualify too, as long as you place and pay for the order during the three days. Delivery can arrive later — the state looks at when the transaction was completed, not when the package shows up.3Tennessee Department of Revenue. Annual Sales Tax Holiday Happening July 25 – July 27
What Qualifies for the Exemption
Clothing Under $100
Everyday clothing is tax-free when each item costs $100 or less. That includes pants, dresses, shirts, shoes, and coats. The $100 cap applies per item, not to your total, so a cart with twelve $50 shirts qualifies in full.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday
The threshold is a hard cliff. A jacket priced at $105 gets taxed on the full $105 — the state does not exempt the first $100 and tax only the overage.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday Check price tags before the register.
School Supplies Under $100
School supplies fall under the same $100-per-item cap. Binders, notebooks, paper, pens, and pencils all qualify. School art supplies are a separate statutory category with the same rule, covering items like clay, glazes, acrylic and tempera and oil paints, paintbrushes for artwork, sketch and drawing pads, and watercolors.4Tennessee Department of Revenue. STH-9 – Types of School and School Art Supplies that Qualify for Sales Tax Holiday Exemption
Computers Under $1,500
Computers get a much higher threshold of $1,500 per item. Laptops, desktops, and tablets qualify at or below that price.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday A qualifying computer is the central processing unit together with its bundled components: monitor, keyboard, mouse, cables, and preloaded software. A CPU sold on its own qualifies, but other components only qualify when sold as part of a bundled package.5Tennessee Department of Revenue. STH-10 – Sales Tax Holiday – Qualifying Computers
Same cliff rule as clothing. A computer priced at $1,501 is taxed on the entire amount, not just the dollar over.6Tennessee Department of Revenue. STH-13 – Sales Tax Holiday Does Not Apply to Computers Costing More Than $1,500 On a $1,500 machine, the 9.25% savings comes to $138.75.
What Does Not Qualify
Plenty of things you might expect to be covered aren’t. Three categories of wearable goods stay taxable regardless of price:7Tennessee Department of Revenue. STH-8 – Types of Clothing Items that Qualify for Sales Tax Holiday Exemption
- Clothing accessories, including jewelry, handbags, umbrellas, and belt buckles or patches sold separately
- Protective equipment like safety goggles, breathing masks, and ear protectors
- Sports and recreational equipment, including cleats, helmets, and pads
Sewing materials and supplies also don’t count as clothing, even if you plan to sew a garment with them.
On the technology side, the exclusions catch a lot of shoppers off guard:
- Monitors, keyboards, speakers, and scanners purchased separately from a bundled computer
- Software bought on its own rather than preloaded on a new machine
- Printers, ink, and printer paper
- External drives, flash drives, and discs
- E-readers, video game consoles, and handheld electronic schedulers
A printer bought alongside a new laptop is still taxable. The exemption covers the computer itself, not accessories on the same receipt.5Tennessee Department of Revenue. STH-10 – Sales Tax Holiday – Qualifying Computers
How Coupons and Discounts Affect the Threshold
Whether a discount pushes an item under the $100 or $1,500 line depends on who pays for that discount. A store coupon or retailer sale price reduces the qualifying price. A $110 jacket marked down to $95 by the store qualifies for the exemption.8Tennessee Department of Revenue. 9Tennessee Department of Revenue. STH-16 – Determining if Discounted Item Qualifies for Sales Tax Holiday
Layaway, Returns, and Exchanges
Layaway purchases can qualify if either the final payment happens during the three-day window, or you select the item and the retailer accepts the order during the window with immediate delivery once paid in full. Placing something on layaway before the holiday and paying it off over time does not qualify.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday
Exchanging a tax-free item for a similar version — same product, different size or color — carries no additional tax, even weeks later. But returning an item and applying the credit to a different product after the holiday means the new item is taxed normally.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday
For straight returns within 60 days after the holiday, retailers won’t refund sales tax unless your receipt or their records show tax was actually paid on that item. Keep your receipts if you’re shopping close to the holiday period.2Justia. Tennessee Code 67-6-393 – Exemption for Sales Tax Holiday