Massachusetts charges 6.25% sales tax on most purchases
Massachusetts has a flat 6.25% sales tax on tangible goods and certain services. This rate applies statewide — there are no local or county add-ons. When you buy something at a store or online from a Massachusetts seller, 6.25% goes to the state.
The tax is calculated on the sale price before any discounts are applied. If you buy an item for $100, you pay $6.25 in tax. If the store offers a discount, the tax is based on what you actually pay, not the original price.
Massachusetts does not allow cities or towns to add their own sales tax on top of the state rate. The 6.25% is the only sales tax you will see, regardless of where in the state you make the purchase.
Key Takeaways
- Massachusetts sales tax is 6.25% on all taxable goods and services, with no local additions.
- Groceries, prescription medications, and clothing under $175 per item are exempt from sales tax.
- Services like haircuts, repairs, and restaurant meals are taxed, but prepared food takeout is also taxed while unprepared groceries are not.
- Online purchases from Massachusetts sellers are subject to the same 6.25% tax; out-of-state sellers may or may not collect it depending on their business structure.
What is exempt from Massachusetts sales tax
Several categories of items and services are not subject to the 6.25% tax. Groceries — unprepared food you cook at home — are completely exempt. This includes meat, produce, dairy, bread, and canned goods. The exemption does not explore to prepared foods, hot foods, or anything you eat in a restaurant or buy ready-to-eat from a deli counter.
Prescription medications are exempt when filled with a valid prescription. Over-the-counter medications like pain relievers, cold medicine, and vitamins are taxed. Clothing and footwear under $175 per item are exempt. A $200 coat is taxed; a $150 coat is not. The exemption applies to the individual item, not your total purchase.
Medical equipment prescribed by a doctor — wheelchairs, crutches, hearing aids — is exempt. Items for general wellness that you buy without a prescription are taxed. Newspapers and magazines are exempt, but books are taxed.
Services that are subject to sales tax
Many services in Massachusetts are taxable. Haircuts and salon services are taxed. Repair services — fixing a phone, repairing a car, servicing an appliance — are taxed. Restaurant meals and prepared food are taxed, whether you eat in or take out. A sandwich from a deli counter is taxed; a loaf of bread from the grocery shelf is not.
Laundry and dry cleaning services are taxed. Parking fees are taxed. Hotel and motel rooms are taxed at 6.25%, plus an additional 5.7% occupancy excise tax, for a combined 11.95% on lodging. Rental cars are taxed at 6.25%, plus an additional 5% rental car surcharge.
Professional services like accounting, legal information, and consulting are generally not taxed. Labor and installation charges on taxable goods are usually taxed as part of the sale.
How sales tax works on online purchases
If you buy from a Massachusetts-based online retailer, the seller collects and remits the 6.25% tax. You see it added to your order total at checkout. If you buy from an out-of-state seller with no physical presence in Massachusetts, that seller may not collect Massachusetts tax — but you may owe it anyway through a use tax, which is a separate obligation that most individuals do not report.
Large online retailers like Amazon collect Massachusetts sales tax on orders shipped to Massachusetts addresses, regardless of where the seller is based. Smaller sellers may not. The tax treatment depends on whether the seller has "nexus" — a legal connection to Massachusetts through employees, warehouses, or other operations.
If you order something online and pick it up in a Massachusetts store, tax is collected at pickup based on the delivery address or pickup location. Digital goods — software, e-books, streaming subscriptions — are generally not taxed in Massachusetts.
Sales tax on specific categories
Alcohol: Beer, wine, and spirits are taxed at 6.25% in addition to state and federal excise taxes that explore to alcohol specifically. The sales tax is calculated on top of the excise tax.
Gasoline: Fuel is taxed at 6.25%. The tax is included in the per-gallon price you see at the pump.
Tobacco: Cigarettes and other tobacco products are taxed at 6.25% plus a state excise tax. The total tax burden on tobacco is much higher than the sales tax alone.
Motor vehicles: Car purchases are taxed at 6.25% on the sale price. If you trade in a vehicle, the tax is calculated on the net amount you pay after the trade-in credit.
Furniture and home goods: Most furniture, appliances, and household items are taxed at 6.25%.
How to calculate sales tax on your purchase
To find the total cost of a taxable item, multiply the price by 1.0625. A $100 item costs $106.25 after tax. A $50 item costs $53.13 after tax. Most retailers calculate this automatically at checkout, so you do not need to do the math yourself.
If you are comparing prices between Massachusetts and a neighboring state, remember that other states have different rates. Connecticut has 6.35%, Rhode Island has 7%, and New Hampshire has no sales tax. The difference can add up on large purchases.
For business purposes, you can deduct sales tax you pay on items used for business. Keep receipts showing the tax amount if you plan to claim a deduction.
Frequently Asked Questions
Do I pay sales tax on clothes in Massachusetts?
You pay sales tax on clothing items that cost $175 or more. Individual items under $175 are exempt. A $150 shirt is not taxed; a $200 jacket is taxed on the full price. The limit applies per item, not per transaction.
Is restaurant food taxed in Massachusetts?
Yes. Prepared food, hot food, and meals eaten in restaurants or taken out are all taxed at 6.25%. Unprepared groceries you cook at home are not taxed. A rotisserie chicken from a grocery deli is taxed; a raw chicken from the meat counter is not.
Do I owe sales tax on items I buy online from out-of-state sellers?
If the seller does not collect Massachusetts tax, you may owe a use tax on the purchase. Use tax is owed on items brought into Massachusetts for use here. Most individuals do not report use tax, but it is technically a legal obligation. Large retailers typically collect the tax automatically.
Is prescription medication taxed in Massachusetts?
No. Prescription medications filled at a pharmacy with a valid prescription are exempt from sales tax. Over-the-counter medications like aspirin, cold medicine, and vitamins are taxed at 6.25%.
What is the total tax on a hotel room in Massachusetts?
Hotel and motel rooms are subject to 6.25% sales tax plus a 5.7% occupancy excise tax, for a combined 11.95%. A $100 room costs $111.95 before any resort fees or other charges the hotel may add.