Massachusetts charges 6.25% sales tax on most retail purchases
The statewide sales tax in Massachusetts is 6.25%. This rate applies to tangible goods — items you can touch and take home — at the point of sale. Some cities and towns do not add a local tax on top of this, which means 6.25% is often the final rate you pay. A few municipalities have added a local option tax, but this is rare and affects only specific locations.
The tax is collected by the retailer and sent to the Massachusetts Department of Revenue. You do not file a separate form or claim it back; the amount is included in your receipt total at checkout.
Key Takeaways
- Massachusetts sales tax is 6.25% on most goods, with no local add-on tax in most towns.
- Groceries, prescription medications, and medical devices are exempt from sales tax.
- 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.
- The tax applies only to purchases made in Massachusetts; online orders may be taxed differently depending on the seller's location and state law.
What is and is not taxed in Massachusetts
Not everything you buy in Massachusetts is subject to the 6.25% rate. Groceries — unprepared food you cook at home — are exempt. This includes bread, milk, vegetables, meat, and frozen foods. Hot or prepared food from a restaurant, deli counter, or bakery is taxed.
Prescription medications and medical devices are also exempt. This covers insulin, inhalers, hearing aids, and similar items. Over-the-counter medications like aspirin or cold medicine are taxed, because they are not prescription items.
Clothing and footwear have a special rule: items priced under $175 are tax-free, but anything over $175 per item is taxed at the full 6.25%. A pair of shoes for $100 is not taxed. A winter coat for $200 is taxed on the full amount. If you buy multiple items, each is evaluated separately at its individual price.
Services like haircuts, car repairs, plumbing, or house cleaning are generally not taxed. However, if a service includes a taxable product — for example, a salon that sells you shampoo along with a haircut — the shampoo portion is taxed but the labor is not.
How the $175 clothing exemption works in practice
The $175 threshold applies to each individual item, not to your total purchase. If you buy five shirts at $30 each, none of them are taxed. If you buy one coat for $300, the entire $300 is taxed. If you buy a $150 jacket and a $200 pair of boots in the same transaction, the jacket is not taxed and the boots are taxed.
The price that matters is the price before any discount or coupon. If a $200 coat is on sale for $150, it is still not taxed, because the item itself is under $175. If a $200 coat is on sale for $180, it is taxed, because the sale price is over $175.
Accessories like belts, scarves, hats, and gloves are treated as clothing and follow the same $175 rule. Jewelry is not considered clothing and is always taxed, regardless of price.
Sales tax on online and out-of-state purchases
If you order something online from a Massachusetts retailer, you pay Massachusetts sales tax. If you order from a retailer outside Massachusetts, whether they charge you tax depends on their location and their sales volume in Massachusetts. Large retailers like Amazon and Walmart collect Massachusetts tax on orders shipped to Massachusetts addresses. Smaller sellers may not, depending on state law and their business structure.
You are not responsible for tracking or paying tax on out-of-state purchases yourself. The retailer either collects it or does not; there is no form you file to make up the difference. If you have questions about a specific online purchase, check your receipt or contact the seller.
Situations where you might not pay sales tax
If you have a resale certificate, you can buy goods without paying sales tax if you plan to resell them. This applies to business owners and retailers. You must register with the Massachusetts Department of Revenue and provide your certificate number at purchase.
Certain organizations — nonprofits, schools, and government agencies — may be exempt from sales tax on specific purchases. This requires documentation and is handled on a case-by-case basis. If your organization thinks it qualifies, contact the Massachusetts Department of Revenue directly.
Some items are exempt for public health or policy reasons. These include newspapers, certain medical equipment, and items used in manufacturing. These exemptions are narrow and apply only to specific goods, not to general shopping.
Where to find more information about Massachusetts sales tax
The Massachusetts Department of Revenue publishes detailed guidance on what is and is not taxed. You can find this on their website under "Sales and Use Tax." They also maintain a list of tax-exempt items and answer questions about specific products.
If you are a business owner collecting sales tax, you must register with the Department of Revenue and file returns. The frequency depends on your sales volume. If you are a consumer with questions about a specific purchase, your receipt should show the tax amount, and you can contact the retailer or the Department of Revenue for clarification.
Frequently Asked Questions
Do I pay sales tax on groceries in Massachusetts?
No. Unprepared food you cook at home — bread, milk, vegetables, meat, frozen foods — is not taxed. Hot or prepared food from a restaurant, deli, or bakery is taxed at 6.25%.
Is clothing always tax-free in Massachusetts?
No. Clothing and footwear under $175 per item are tax-free. Items priced at $175 or more are taxed at 6.25%. Each item is evaluated separately by its individual price.
Do I pay sales tax on prescription medications?
No. Prescription medications and medical devices like hearing aids and insulin are exempt. Over-the-counter medications like aspirin are taxed.
What if I buy something online from outside Massachusetts?
Large online retailers collect Massachusetts sales tax on orders shipped to Massachusetts. Smaller sellers may not, depending on their location and sales volume. You are not responsible for paying tax yourself if the retailer does not collect it.
Are haircuts and services taxed in Massachusetts?
No. Labor and services like haircuts, repairs, and cleaning are not taxed. If a service includes a taxable product — like shampoo sold at a salon — only the product portion is taxed.