District Cancels Annual Sales Tax Holiday

(Washington, DC) — So much for this year’s sales tax holiday. The District, faced with a more than $660,000,000 budget shortfall, has canceled its annual sales tax holiday. The holiday, usually held in early August, allows shoppers to buy clothes and school supplies without the 5.75% sales tax. The District hopes to collect an estimated $640,000 in sales tax revenue by canceling the holiday. “It’s purely a matter of dollars. In this economy, half-a-million dollars is important money,” says David Umansky, a spokesman for the office of the Chief Financial Officer.

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