IL HB4101

Establishes a permanent annual sales tax holiday from August 5 through August 14 each year, beginning in 2026, reducing the state sales tax rate from 6.25% to 1.25% on qualifying items

Qualifying items include clothing priced under $125 (general apparel such as shoes, coats, underwear, and school uniforms, but excluding accessories, protective equipment, and sports gear)

School supplies used by students in courses of study also qualify for the reduced rate, including binders, calculators, notebooks, pens, pencils, and similar items

Computers, cell phones, cameras, textbooks, and school art supplies are specifically excluded from the reduced tax rate

Amends both the Use Tax Act and the Retailers' Occupation Tax Act to codify the holiday dates, building on prior temporary sales tax holidays held in 2010 and 2022