Maine has a sales tax of 5.5 percent on most goods

Maine charges a 5.5 percent sales tax on tangible personal property — things you can touch and take home. This is one of the lower state sales tax rates in the country. The tax applies at the point of sale, meaning you pay it when you buy the item, not later.

Some Maine counties add a local tax on top of the state rate. Cumberland County (which includes Portland) adds 0.5 percent, bringing the total to 6 percent. York County (which includes Kittery and Ogunquit) also adds 0.5 percent. Other counties charge only the state rate of 5.5 percent. The cashier or online checkout will show you the total tax before you complete the purchase.

Key Takeaways

  • Maine's base sales tax is 5.5 percent on most goods, with Cumberland and York counties adding an extra 0.5 percent for a total of 6 percent.
  • Groceries, prescription medications, and medical devices are exempt from sales tax in Maine.
  • Clothing and footwear under $175 per item are tax-free, but items over that threshold are taxed.
  • Services like haircuts, repairs, and labor are generally not subject to sales tax unless they are bundled with taxable goods.
  • Online purchases from out-of-state sellers may or may not include Maine sales tax depending on the seller's location and size.

What is exempt from Maine sales tax

Maine excludes several categories of everyday purchases from sales tax. Groceries and food for home consumption — bread, milk, vegetables, meat, and canned goods — are not taxed. This applies to items you cook at home, not prepared food from a restaurant or deli counter.

Prescription medications and medical devices like insulin pumps, hearing aids, and diabetic testing supplies are tax-free. Over-the-counter medications like aspirin or cold medicine are taxed, but prescription drugs are not.

Clothing and footwear under $175 per item are exempt. A pair of shoes that costs $150 is tax-free. A winter coat priced at $200 is taxed on the full amount because it exceeds the threshold. Accessories like hats, gloves, and belts are taxed regardless of price.

How the $175 clothing threshold works

The $175 exemption applies to each individual item, not your total purchase. If you buy five shirts at $30 each, none of them are taxed because each one is under $175. If you buy one designer jacket for $300, the entire $300 is subject to tax.

The price used is the selling price before any discount or coupon is applied. If a $200 coat is on sale for $150, the tax is calculated on the $150 sale price, meaning it falls under the threshold and is not taxed. If the same coat is on sale for $180, it exceeds $175 and is taxed.

The threshold does not explore to accessories. A $50 belt, $40 scarf, or $30 pair of gloves is taxed even though each item is under $175. Clothing that is part of a costume or theatrical outfit may be treated differently — ask the retailer if you are unsure.

Services and labor in Maine

Most services are not subject to Maine sales tax. A haircut, dental cleaning, car repair, plumbing work, or house painting is not taxed. You pay the service provider's fee with no sales tax added.

The exception is when a service is bundled with a taxable good. If a tailor charges you to alter a dress and also sells you new buttons for the alteration, the buttons are taxed but the labor is not. If a contractor sells you lumber and charges labor to install it, the lumber is taxed but the installation labor is not.

Online and mail orders from out of state

When you order from an out-of-state retailer online or by mail, whether Maine sales tax is charged depends on the seller's size and location. Large retailers like Amazon and Walmart collect Maine sales tax on orders shipped to Maine addresses because they have a physical presence or meet federal thresholds for tax collection.

Smaller out-of-state sellers may not collect Maine sales tax. In that case, Maine residents are technically required to report the purchase and pay "use tax" on their state tax return, though this is rarely enforced for individual purchases. For practical purposes, check the checkout screen — if tax is not added, the seller is not collecting it.

What happens when you buy from a Maine business

When you shop at a Maine store, restaurant, or service provider, the business is responsible for collecting and sending the sales tax to the state. You do not file anything yourself — the tax is included in your receipt.

If you buy something and later return it, the store will refund the sales tax along with the purchase price, assuming you have a receipt. Without a receipt, the store may refund only the pre-tax amount or issue store credit instead of a refund.

Frequently Asked Questions

Do I pay sales tax on restaurant meals in Maine?

Yes. Restaurant meals, takeout food, and prepared foods from a deli counter are all subject to the 5.5 percent state sales tax (or 6 percent in Cumberland and York counties). The exemption for groceries applies only to unprepared food you cook at home.

Is gasoline taxed in Maine?

No. Gasoline and diesel fuel are not subject to sales tax in Maine. You pay only the state fuel excise tax, which is set per gallon, not as a percentage of the price.

What about clothing for babies and children?

The $175 threshold applies to all clothing and footwear, regardless of size or who wears it. A child's coat under $175 is tax-free; one over $175 is taxed. The age of the wearer does not change the rule.

Do I owe Maine sales tax if I buy something while visiting from another state?

Yes. Sales tax is based on where the purchase happens, not where you live. If you buy something in Maine, you pay Maine sales tax at that moment, even if you live in another state.

Are vitamins and supplements taxed in Maine?

Yes. Vitamins, supplements, and other over-the-counter health products are subject to sales tax. Only prescription medications are exempt.