Sales tax is a tax imposed by state and local governments on the sale of goods and services and is usually calculated as a percentage of the sale price. Sales tax is sometimes referred to as retail sales tax.
In Massachusetts, the sales tax is a state-imposed tax that applies to the sale of most goods and some services. The sales tax rate is 6.25% of the sales price or rental charge on tangible personal property (including gas, electricity, and steam) and certain telecommunications services sold or rented in Massachusetts. The state does not allow local jurisdictions like cities or counties to impose their own sales tax; therefore, the rate is consistent across the entire state. There are, however, exemptions to this tax, including but not limited to clothing items up to $175, most non-restaurant food items, and prescription medications. Businesses are responsible for collecting the sales tax from consumers at the point of sale and remitting it to the Massachusetts Department of Revenue.