TRENTON, NJ — It’s the little things that go along way for the highest taxed citizens in America. As back to school shopping returns, prices are up and Governor Phil Murphy has ended the once popular back-to-school tax holiday.
Parents shopping for back-to-school supplies this year in New Jersey will face higher costs at the register as the state’s sales tax holiday—previously a welcome relief for families each August—has officially been scrapped under Governor Phil Murphy’s latest budget.
The annual tax break, which waived sales tax on essentials like notebooks, pens, art supplies, laptops, and even sports gear during a ten-day window before school, was repealed as part of the Fiscal Year 2025 budget plan signed by Murphy. The program had only been in place for two years before being cut.
The decision, enacted under P.L. 2024, c. 19, repeals N.J.S.A. 54:32B-8.21a, effectively eliminating the sales tax holiday that once gave parents, teachers, and students a financial breather during one of the most expensive times of the year. Retailers across the state have been directed to resume collecting standard sales tax on all previously exempted back-to-school items.
Governor Murphy’s office has defended the move, pointing to the state’s shifting financial priorities. The latest budget redirects spending toward expanded education funding, free school meals, teacher training programs, and broader investments in healthcare and public safety. Budget officials say the reallocation of funds aims to deliver long-term benefits for New Jersey communities.
Still, not everyone is on board. The move has drawn strong criticism from Republican gubernatorial candidate Jack Ciattarelli, who took to social media this week slamming the repeal and accusing Murphy and Trenton Democrats of ignoring the financial pressures facing working families.
“Trenton Democrats had the chance to give NJ parents a break,” Ciattarelli wrote in an X post, calling the budget “bloated” and “pork-filled” while vowing to reinstate the tax holiday if elected governor.
In addition to its political flashpoint, the rollback comes at a time when inflation continues to drive up the cost of classroom supplies, electronics, and clothing. Many parents now face paying both higher prices and the full 6.625% sales tax on school essentials this season.
The state first introduced the tax holiday in 2022 as part of a pandemic recovery measure and response to rising inflation. It was well-received by educators and families alike for its practical relief during the costly back-to-school season.
No formal legislation has yet been introduced to reinstate the holiday, but with the upcoming gubernatorial race heating up, the issue is likely to remain a central talking point.
