Ohio Sales Tax Holiday: August 1 to August 14, 2025
Small businesses in Yellow Springs and other small communities can use the Sales Tax Holiday as a powerful tool to boost sales and connect with customers. Events like this help drive local spending, attract foot traffic, and remind residents that shopping small keeps dollars in the community. With support from organizations like the Yellow Springs Chamber of Commerce, businesses have the tools. Now it’s time to make the most of the moment.
THE DETAILS: “Ohio’s expanded sales tax holiday runs from 12:00 a.m. on Friday, August 1 through 11:59 p.m. on Thursday, August 14, 2025. During this two‑week period, almost all tangible personal property priced at $500 or less per item can be purchased without Ohio sales tax, including both the state (5.75%) and applicable local rates. Eligible items include clothing, electronics, school and office supplies, furniture, sporting goods, kitchenware, plants, dine‑in food (per item under $500), and more. Exclusions apply to motor vehicles, title‑required watercraft, alcohol, tobacco, vapor and marijuana products, and taxable services. Both in‑store and online sales are eligible, provided payment occurs during the holiday window. Participation is mandatory for all licensed Ohio retailers, who must apply the exemption on qualifying items.” tax.ohio.gov
3 Ways Retail Businesses Can Maximize the Holiday
Promote “Tax Free Savings” in Marketing
Highlight the tax exemption across eligible items, especially those just under the $500 cap (such as school supplies, electronics, and apparel). Use banners, emails, social media, and local ads to emphasize “No sales tax on all items under $500 from August 1 to 14.” This leverages the holiday buzz to increase foot traffic and cart sizes.Prepare Systems and Staff for Compliance and Upselling
Update point of sale and online checkout systems to automatically apply item level exemption rules. Train staff to correctly itemize receipts, identify eligible products, and encourage add-on sales during the surge. Ensure shipping charges are prorated where relevant. (kirschcpa.com)Adjust Inventory and Pricing Strategy
Audit SKUs to clearly mark eligible merchandise and stock up on likely top sellers. Consider bundling eligible and non‑eligible items properly to avoid losing the exemption. Monitor pricing to avoid pre-holiday inflation. Use the window to introduce complementary items that encourage impulse purchases.
3 Ways Professional Services Can Benefit
Promote Business to Business (B2B) Tax Free Supplies
Buyers in sectors like contracting, office support, healthcare, or hospitality can qualify for office supplies, equipment (such as monitors or small tools), and promotional items if each item costs $500 or less. Encourage clients to plan purchases during the holiday and consider framing service packages that include eligible supplies.Offer Hybrid Deals Bundling Services with Eligible Goods
Create bundles, for example a small repair or installation service paired with eligible hardware priced under $500. Make sure the item is separately listed and under the threshold so the client benefits from the exemption, improving perceived value.Prepare Ancillary Marketing Materials and Training
Use the holiday as a theme. Send emails to clients offering to coordinate tax free equipment or supplies during the holiday. Host a brief webinar or create a resource guide titled “How to Save on Office Upgrades in Ohio Sales Tax Holiday” to educate clients and position your firm as proactive and client focused.
Whether you run a retail shop, a service-based business, or something in between, Ohio’s Sales Tax Holiday is more than a consumer perk, it’s an opportunity to build your business. With smart planning, creative marketing, and a focus on delivering value, you can turn this moment into momentum.
The tools are available. The timing is right. The rest is up to you.
