Olena Ray walked into Computer Exchange a week ago looking to upgrade from her 4-year-old computer.
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Olena Ray, a first-grade teacher at Grovetown Elementary School, decided to hold off on purchasing a new computer until Georgia and South Carolina offer consumers tax-free weekends.
Kevin Martin/Staff
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But when the first-grade teacher at Grovetown Elementary School learned of the upcoming sales tax holiday, she decided to wait a week.
"With a computer and all, I thought, 'Gee, that would be a smart time to do it,'" she said. "I'm not a mom with several children ... but I appreciate that being available for me, too."
With Ms. Ray and other shoppers coming out in force this weekend to take advantage of sales tax exemptions, area businesses are anticipating a boost in late-summer sales.
Georgia and South Carolina are among a handful of states that offer annual sales tax holidays, which exempt most clothing, school supplies and computers from taxes for one weekend. The tax-free days are designed to reduce the costs families face when equipping their children for the school year.
Georgia's tax-free weekend starts today, and South Carolina's follows next weekend.
But more than just back-to-school shoppers are taking advantage of the discounts, and that translates into big business.
"These sales tax holidays generate excitement for shoppers," said Steve Mullin, a spokesman for Circuit City, which is extending its shopping hours for the weekend.
"If they're going to buy something, they'll buy it on that weekend to take advantage of the savings," he said.
Shoppers in South Carolina saved $2.3 million last year, but the state's total tax collections were up, said Danny Brazell, a spokesman for the South Carolina Department of Revenue.
He said the tax-free incentives brought more shoppers to the stores, which resulted in an increase in total sales and tax revenues as people bought more taxable items, too.
"Retailers have told us this is the third-biggest shopping weekend after Thanksgiving and Christmas," Mr. Brazell said.
Bob Goodman, the manager of Rich's-Macy's at Augusta Mall, said the tax-exempt weekend will have a huge effect on sales.
"It's a boost to the back-to-school business, which is usually a busy time for us," he said, adding that many shoppers also will purchase items that are on sale but not tax-free.
Computers are likely to be one of the more popular items.
The Consumer Electronics Association reports that close to three-quarters of Americans say it is important for children to have access to a home computer, but only a quarter of those surveyed consider computers affordable.
In Georgia, computers are tax exempt up to $1,500, meaning consumers can save as much as $105.
That savings has been enough to swamp several local computer retailers.
Computer Exchange started taking orders a few weeks ago so customers could pick up their computer this weekend, and the company is still taking orders. The result has been a normal month's volume in just one weekend.
"It's incredible," said Charles Kelly, the owner of Computer Exchange. "It's bigger than Christmas for us."
Reach James Gallagher at (706) 823-3227 or james.gallagher@augustachronicle.com.
Tax-free weekends
Georgia
When: Today-Sunday
What's exempt from sales tax: School supplies up to $20, clothing up to $100, computers and accessories up to $1,500
South Carolina
When: Aug. 6-8
What's exempt from sales tax: Most school supplies, clothing and computers, though no limitation is placed on the value
