The Tax Foundation is the nation’s leading independent tax policy nonprofit. Since 1937, our principled research, insightful analysis, and engaged experts have informed smarter tax policy at the federal, state, and global levels. For over 80 years, our goal has remained the same: to improve lives through tax policies that lead to greater economic growth and opportunity. Sixteen states will hold a sales tax holiday in 2019, down from a peak of 19 in 2010 and from 17 last year. Wisconsin did not continue its one-time holiday, and Louisiana suspended its sales tax holiday program effective July 1, 2018. Massachusetts had established a one-time sales tax holiday for 2018, but starting this year reinstated it as an annual holiday. Sales tax holidays do not promote economic growth or significantly increase consumer purchases; the evidence (including a 2017 study by Federal Reserve researchers) shows that they simply shift the timing of purchases. Some retailers raise prices during the holiday, reducing consumer savings. Sales tax holidays create complexities for tax code compliance, efficient labor allocation, and inventory management. However, free advertising for what is effectively...