PLOVER – Governor Scott Walker visited Kohl’s in Plover today to discuss his child sales tax rebate and sales tax holiday package. Under the proposal, Wisconsin families would receive $100 for every child living at home under 18 through a check in the mail this year, and all Wisconsinites would reap the benefit of a sales tax holiday planned for the first weekend in August.
“Thanks to our conservative reforms and a strong economy, Wisconsin once again has a budget surplus, and we want that money to go back into the pockets of the hardworking taxpayers,” said Governor Walker. “This will also provide broad tax relief for all Wisconsinites by temporarily eliminating the state and local sales tax on items under $100 during the August sales tax holiday. And, it would give families $100 in their mailbox for each child under 18 living at home. This additional money could help with activities fees for a fall sport for your son or daughter, back to school supplies for your kids, or cover a co-pay at the dentist or doctor.”
The legislation sets the new sales tax holiday for August 4-5, 2018. Consumers would be exempt from paying state sales tax on all retail “off the shelf” items up to $100. The exemption would not apply to the sale of taxable services, prepared food, motor vehicles, motor vehicle parts, tangible or intangible property used to access telecommunications services, tangible or intangible property provided by a utility, or alcohol and tobacco products.
According to the Wisconsin Department of Revenue (DOR), the child tax credit rebate is estimated at $122.1 million in fiscal year 2018. DOR also estimates that the one-time sales tax holiday will provide approximately $50 million in tax relief in fiscal year 2019.