Ohio Sales Tax Holiday 2026: What Businesses Need to Know
Ohio’s Sales Tax Holiday is returning in 2026, but with a significant change from the expanded holiday businesses experienced over the past two years.
This year, the holiday will run from 12:00 a.m. Friday, August 7, through 11:59 p.m. Sunday, August 9, 2026. Unlike the broader exemptions available in 2024 and 2025, Ohio is returning to its traditional three-day back-to-school sales tax holiday focused specifically on qualifying school-related purchases.
During the holiday, the following items will qualify for exemption from Ohio sales and use tax:
Clothing priced at $75 or less per item
School supplies priced at $20 or less per item
School instructional materials priced at $20 or less per item
The Ohio Department of Taxation has confirmed that the expanded exemption for nearly all tangible personal property priced at $500 or less will not apply in 2026. (tax.ohio.gov)
What's Covered Under Ohio's Sales Tax Holiday?
During the holiday, qualifying purchases will include clothing priced at $75 or less per item, school supplies priced at $20 or less per item, and school instructional materials priced at $20 or less per item.
Unlike the expanded exemptions available in 2024 and 2025, computers, electronics, furniture, household goods, and other general merchandise will not qualify in 2026. Alcoholic beverages, tobacco and vapor products, motor vehicles, certain watercraft, and items containing marijuana also remain taxable.
Common Ohio Sales Tax Holiday Scenarios Businesses Should Know
If taxable and exempt items are sold together for one non-itemized price, the full amount may become taxable.
Items normally sold as a unit cannot be separated and repriced simply to qualify for the exemption.
Online purchases qualify only if the order is placed and paid for during the holiday period.
Shipping charges for mixed purchases must generally be allocated between taxable and exempt items.
No sales tax should be charged if a qualifying item is exchanged for the same item after the holiday.
For a pre-holiday purchase returned during the holiday, a qualifying replacement item may be exempt.
CSH SALT Recommendations
Review inventory and pricing ahead of the holiday, train staff on exempt versus taxable transactions, and update POS and e-commerce systems to correctly apply the exemption.
Although the 2026 holiday is narrower than the expanded exemptions businesses navigated in 2024 and 2025, retailers should still expect increased customer activity and heightened scrutiny around compliance.
Need Assistance? We Can Help
The CSH State and Local Tax Team can help businesses understand Ohio’s sales tax holiday rules and prepare for compliance challenges before, during, and after the holiday.
For assistance with Ohio sales tax questions or broader multistate tax issues, contact a member of the CSH State and Local Tax Team.
