Public Act No. 26–68 also makes three changes to the Connecticut sales tax holiday. It increases the price cap from $100 to $300, and it adds “cleated shoes” and “any backpack” to the list of eligible products.
This isn’t the first time Connecticut has had such a high sales tax holiday price cap. It was $300 between July 1, 2004, and June 30, 2015, when the Legislature reduced it to $100.
You’ll notice that “backpacks” qualifying as nonelectronic school supplies are sales tax exempt starting July 1, 2026, while “all backpacks” priced under $300 qualify for the sales tax holiday. Perhaps the Connecticut Department of Revenue Services will publish guidance addressing this issue.
Connecticut’s tax-free week takes place annually, running from the third Sunday in August until the “Saturday next succeeding.” The changes established under Public Act No. 26–68 will apply starting with the 2026 tax-free week.
In 2026, there are sales tax holidays in 22 states, Puerto Rico, and at least one local jurisdiction in Alaska. Several other states introduced bills to create new sales tax holidays. We’re updating our 2026 sales tax holidays blog as new policies emerge.
Businesses that subscribe to Avalara Tax Research can also use the AI-powered tax research assistant to keep up with new and changing sales tax holidays. “The AI-powered search in Avalara Tax Research has been a game changer, cutting my research time by more than 80%,” says Dakota Cox, Accounts Payable at Averitt Express.