HB4114 Summary

• Creates a sales tax holiday period for certain school supplies and clothing from August 2, 2024 through August 11, 2024.

• Reduces the tax rate to 1.25% on qualifying items during the holiday period instead of the standard 6.25% rate.

• Amends the Use Tax Act and the Retailers' Occupation Tax Act to define the sales tax holiday period and establish procedures for administration by the Department of Revenue.

• Updates references to the sales tax holiday period in State Finance Act provisions governing distribution of tax revenues to local governments and special funds.

• Takes effect immediately upon becoming law.