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Shopping tax-free in Maryland | What you need to know

Maryland shoppers will be able to purchase items tax-free August 8 - 14.

WASHINGTON — Shoppers in Maryland can expect to save some money as the state kicks off its tax-free holiday.

Sales tax holidays are a time period that allows customers to make specific purchases without having to pay state, and occasionally local, sales taxes.

The sales tax holiday lasts a week and begins this year on August 8 and will last until August 14. 

According to a press release from the Comptroller of Maryland Peter Franchot, the week is a "rite of Maryland's late summer," and it signals the start of a new school year, cooling weather and new clothes. 

“Maryland’s high vaccination rates means life is beginning to return to normal. While I continue to urge caution, Marylanders should take advantage of tax-free week savings and support locally owned businesses that have been hit hard during the pandemic,” said Franchot.

According to the Maryland tax website, eligible items include clothing and footwear up to $100 per item and backpacks up to $40 per item.  

Clothing and footwear also cover items some may not expect, such as:

  • Adults diapers
  • Baby diapers
  • Bathrobes
  • Bridal gowns and dresses (rent or sold)
  • Prom dress
  • Dry-cleaning services (non-commercial)
  • Costumes

Click here to view a whole list of items eligible for the sales tax holiday.

Shoppers aren't the only ones to benefit from the tax-free week. The Comptroller’s Office has partnered with the Maryland Retailers Association (MRA) to offer a scholarship to two students attending a Maryland university, college or trade school with a $1,000 award for first place and a $500 prize for second place.  

The University System of Maryland has agreed to match the scholarship if the winning students attend one of its institutions. Winning students who attend Goucher College, Hood College, Mount St. Mary's University, Stevenson University, Washington Adventist University and the Maryland Institute College of Art (MICA) will also have their scholarships doubled. 

To enter, students must email a creative photo or video that is shorter than 60 seconds and promotes tax-free week, showcases their purchases and their support of Maryland retails. The email must be sent to SHOPMDTAXFREE@marylandtaxes.gov no later than August 15.

In Maryland, some counties are requiring people to mask up when in public. Montgomery County's mask mandate will go into effect on August 7, where people in Prince George's County will need to mask up starting August 8. 

Click here to see where masks are required in Maryland. 

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