Business

Baker signs state sales tax holiday into law

BOSTON — Massachusetts shoppers can look forward to another annual sales tax holiday this month.
Gov. Charlie Baker on Thursday signed a law that will suspend the 6.25 percent sales tax for the weekend of Aug. 15-16.
Baker said the holiday gives consumers a break while also helping retailers with added business. He added it was something that Massachusetts shoppers look forward to each summer.
The state has had a sales tax holiday in all but one year since 2004.
Critics say it largely helps “big box” national retailers and doesn’t do much for the state’s economy.
The sales tax remains in effect for cigarettes and big-ticket purchases, such as cars and motorboats, and anything costing more than $2,500.
Food and most clothing are already exempt from the sales tax.
“The sales tax holiday gives consumers a much needed break while bolstering business across the Commonwealth for our hardworking retailers,” said Baker. “We appreciate the legislature’s work on this important weekend that many people look forward to each year and encourage the Commonwealth to shop local and enjoy this opportunity to make purchases tax free.”
“A tax free weekend is a great chance to support our local businesses and save a few extra dollars, and we thank the legislature for their efforts to deliver this opportunity once again,” said Lt. Governor Karyn Polito. “We encourage folks to mark their calendar and help boost business in our state to support our economy.”
“The Sales Tax Holiday has become an annual event that everyone looks forward to,” said Jon Hurst, President of the Retailers Association of Massachusetts. “It’s a proven winner, incentivizing shoppers to invest back into our local economy, while allowing Massachusetts businesses to recapture more than $168 million in sales otherwise headed to nearby states or online. And consumers get a few dollars back in their pockets, too.”

To Top