Computers Top Sales Tax Holiday Back-to-School Buys

Three-quarters of all Americans believe it is important for children to have access to a computer at home. Unfortunately, only 36 percent of those surveyed feel computers are affordable, according to the Consumer Electronics Association’s (CEA) 2005 Back to School Consumer Survey.

Fortunately, a growing number of states are not only recognizing the important role computers play in education but also that they are a major expense for many families. To help families afford home computers, ten states have enacted computer-inclusive sales tax holidays.

More families feel that computers are affordable in states that have computer-inclusive sales tax holidays. In fact, 50 percent of all Americans and 62 percent of Americans with children, say they would be more likely to purchase a computer during a sales tax holiday. Eliminating the 5 percent sales tax on a $1,000 to $2,000 computer purchase saves the consumer between $50 and $100.

“The good news is that more states understand the significant benefits sales tax holidays for computers bring to shoppers, retailers and families with school-aged children. It is clear that if there is a computer in the household, children will use it for schoolwork. We hope to see more states create such a program each year,” said Douglas Johnson, senior director of technology policy for CEA.

This year’s survey revealed that 85 percent of children with a home computer use it for school-related activities, which is no different than last year’s numbers. Children use home computers an average of 5.2 hours a week which is unchanged from 2003, however, between the ages of 12 and 17 home computer use almost doubles to 8.2 hours a week.


Already a member? log in here.

Editor's Choice

Upcoming CPE Webinars

Dec 3The materials discuss the concepts and principles in the AICPA’s new special purpose framework.
Dec 8Kristen Rampe will cover how to diffuse the tension in challenging situations in this one-hour webinar.
Dec 9A key component to improving your firm’s workflow efficiency while enhancing your profitability at the same time is how you leverage emerging technologies.
Dec 16Kristen Rampe will give tips on how to bring confidence into the room and build a valuable network.