The Massachusetts state sales tax rate is 6.25%, and there is no local sales tax. This rate is higher than a majority of states, as counties and cities in Massachusetts are not permitted to collect local sales taxes.
Taxable and Exempt Items
- Groceries and prescription drugs are exempt from the Massachusetts sales tax.
- The sales tax applies to tangible personal property, telecommunications services, gas, electricity, and steam sold or rented in Massachusetts.
- Computer hardware, equipment, prewritten software, and standard information reports are generally subject to sales tax regardless of delivery method.
Tax Collection and Payments
- Businesses selling taxable goods and services in Massachusetts must register for a seller’s permit to collect sales tax.
- Sales tax is paid on the sales price or rental charge, with exemptions varying by item.
- Taxpayers can file sales tax returns and make payments online through the Massachusetts Department of Revenue.