If you’re nonetheless planning for the upcoming weekend, you would possibly wish to add some buying to the calendar, because the state will as soon as once more maintain its annual gross sales tax vacation.
“The sales tax holiday for 2022 will be held on Saturday, August 13 and Sunday, August 14. Retail items of up to $2,500, purchased in Massachusetts for personal use on these two days, will be exempt from sales tax,” the Department of Revenue mentioned in a launch asserting the dates.
First tried for simply someday in 2004 however made into an annual full weekend vacation in 2018, the legislation goals to spice up shopper spending for one weekend a 12 months on the expense of tens of millions in gross sales tax income.
The legislation suspends the state’s 6.25% gross sales tax, with some exclusions.
Purchases of automobiles, boats, meals, utilities, marijuana, tobacco and alcohol are nonetheless taxed. Gasoline just isn’t topic to the gross sales tax and so just isn’t affected by the vacation. Business purchases are nonetheless taxable.
Residents who wish to do their buying on-line could achieve this as nicely, offered their buy is made this weekend. The date of supply doesn’t have an effect on the acquisition worth, DOR mentioned within the launch.
“No sales tax is due on that purchase, even if delivery of the item occurs after the sales tax holiday weekend,” they mentioned.
A single merchandise that prices $2,500 would see a tax financial savings of $156.25. An merchandise costing even one greenback extra can be topic to that tax quantity, plus the 7 cents for the additional greenback.
Clothing below $175 is mostly not taxed, however throughout the vacation costlier duds as much as $2,500 can be untaxed.
Rentals of as much as 30 days which are usually topic to gross sales tax are tax free if paid for throughout the vacation. This doesn’t embrace automobile and boat leases.
Massachusetts retailers should, by legislation, take part within the vacation if they’re open for enterprise throughout the weekend. Any buy made throughout that weekend that’s charged tax should see the tax refunded by the retailer, in response to DOR.
Source: www.bostonherald.com”