OFFICE OF SENATOR JAY PAUL GUMM
Atoka, Bryan, Coal, Johnston & Marshall Counties
For Immediate Release: September 12, 2007
Sen. Jay Paul Gumm
Gumm Says Sales Tax Holiday Responsible
for Revenue Boost
Preliminary sales tax receipts from August show that Oklahoma’s
Back-to-School Sales Tax Holiday increased state revenues by boosting
economic activity, according to the chief legislative proponent
of the measure.
Paul Gumm said that while saving parents millions of dollars
on school clothing for their children, the three-day event in early
August stimulated revenue growth for the state, exactly as supporters
“Many of us predicted the Back-to-School Sales Tax Holiday
would spur retail activity, and that is exactly what happened,”
Senator Jay Paul Gumm said.
Gumm, a Democrat from Durant, was a co-author of the bill in the
2007 session of the Oklahoma Legislature that created the Back-to-School
Sales Tax Holiday. He fought to pass the measure for several years.
Gumm helped shepherd the measure through the legislative process
taking on opponents who argued that it would reduce state and local
It was reported Tuesday that sales tax revenue for August increased
by $4.6 million over 2006 totals for the same month and came in
$4.8 million over the official state revenue estimate.
“Rather than leading to a loss of revenue, the economic activity
associated with the Back-to-School Sales Tax Holiday actually stimulated
revenue growth for the state. A better description might be to say
this was a policy that caused the sales tax boost to happen—just
as predicted,” Gumm said.
“More importantly,” the senator said. “Oklahoma
families got to save money on back-to-school clothes and Oklahoma
retailers were able to take advantage of the holiday to increase
sales. It was a ‘win-win’ for state government and the
The Back-to-School Sales Tax Holiday removed the state, county and
municipal sales tax on articles of clothing and footwear costing
less than $100. State officials estimate that shoppers saved $6.4
million in state sales tax along with millions more in county and
local sales taxes.
For more information, contact:
Senator Gumm's Office: (405) 521-5586