IRS and FBI warn about business cyber scams that target COVID teleworkers
Tax reform is a global concern in wake of COVID-19's costs

Yes, Virginia, you'll probably pay tax on your Christmas tree

This year's fresh greenery component to our otherwise fake fir Christmas decorations. (Photo by Kay Bell)

It's the first weekend of December. That means millions of folks are untangling light strings, digging out cherished family holiday tchotchkes and making their homes merry and bright.

In many homes, a Christmas tree is the center of the celebration.

Fake fir, real celebration: For all but one Christmas over our decades of marriage, the hubby and I have had an artificial tree.

Our lone live tree December was our first in Florida because I was missing the season's traditional chill. I soon got over that. Watering a real tree and vacuuming up fir needles 10 months later is not for me.

Mainly, though, we go with a fake fir because I like putting up Christmas decorations early. Like before Thanksgiving early. One year right after Halloween early.

And I like leaving the seasonal display up longer. Like later than Epiphany longer. One year until Valentine's Day later.

So we gotta go artificial. Don't judge me! It's the holidays!

Christmas wreath receipt 2020Real wreath add-on: In our — OK, my — defense, we do get a real wreath to hang indoors so that we can enjoy that wonderful evergreen aroma.

This year, the natural touch pictured at the top of this post cost us $46.54. That includes $3.55 in combined state and local sales tax.

That tally means my answer to Jennifer Dunn's recent seasonal query, "Is your Christmas tree taxable?" is yes.

Here in Texas, live Christmas trees and their bow-bearing by-products are taxable.

And obviously, if you have to replace an artificial tree, sales tax will be tacked onto that plastic purchase, too.

More seasonal sales tax talk: Jennifer's question also is the headline of her recent post on TaxJar's sales tax blog.

And her exploration of this particular seasonal sales tax assessment earns this weekend's Saturday Shout Out.

I'll let you read it after you finish festooning your tree. But here's Jennifer's key takeaway:

Your Christmas tree is “tangible personal property.” Tangible personal property is almost always taxable. The only time it isn’t taxable is when there is some sort of exemption.

Sales tax exemptions: Ah, yes, even during the holidays, you can't escape perennial tax exceptions and exemptions.

In her post, Jennifer looks at some that apply to Christmas trees.

Personally, I don't mind paying the tax. I'm not Grinchy enough to let a few dollars mess up the most wonderful and my favorite time of the year.

Here's wishing you a good start to the 2020 holiday season. Or, if you're like me, the mid-point of Christmas time!

You also might find these items of interest:





Feed You can follow this conversation by subscribing to the comment feed for this post.

The comments to this entry are closed.