Massachusetts tax exemption form

What is Massachusetts Tax Exempt?

Although Massachusetts still levies a 6.25 percent sales tax on most tangible items, there are quite a few exemptions , including food, healthcare items, and more. Personal or professional services: As in several other states, accounting, legal, and medical services are among those exempt from tax .

How do I apply for sales tax exemption in MA?

To claim the exemption , the buyer or their agent must provide the vendor with: A signed copy of Sales Tax Exempt Purchaser Certificate (Form ST-5) or Contractor’s Sales Tax Exempt Purchase Certificate (Form ST-5C), and. A copy of the organization’s Certificate of Exemption (Form ST-2) issued by DOR.

How do I get a Massachusetts resale certificate?

If you need to apply for a registration, go to mass .gov/dor and click on MassTaxConnect to complete an online application for registration. 3. This certificate must be signed by and bear the name and ad dress of the purchaser and his/her Account ID number or Federal Identifica- tion number.

How do tax exempt forms work?

Sales tax exemption certificates enable a purchaser to make tax -free purchases that would normally be subject to sales tax . The purchaser fills out the certificate and gives it to the seller. The seller keeps the certificate and may then sell property or services to the purchaser without charging sales tax .

What items are exempt from sales tax in Massachusetts?

What is exempt from sales taxes in Massachusetts? Clothing . 6.25% Groceries. EXEMPT. Prepared Food. 7% Prescription Drugs. EXEMPT. OTC Drugs. 6.25%

Can I claim personal exemption?

A personal exemption was available until 2017 but eliminated from 2018 to 2025. Taxpayers, their spouses, and qualifying dependents were able to claim a personal exemption . The personal exemption was eliminated in 2017 as a result of the Tax Cuts and Jobs Act.

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What services are subject to sales tax in Massachusetts?

Goods that are subject to sales tax in Massachusetts include physical property, like furniture, home appliances, and motor vehicles. Prescription medicine, groceries, gasoline, and clothing are all tax -exempt.

What items are subject to sales tax in Massachusetts?

Tangible products are taxable in Massachusetts , with a few exceptions. These exceptions include clothing costing less than $175, most non-restaurant food and groceries, several health care and sanitation items , prescribed medical devices, and periodicals.

How much is sales tax in Massachusetts on a car?

If the sale is made by a motor vehicle dealer or lessor who is registered, the sales tax rate is 6.25%. The use tax applies to all other types of transfers of title or possession where the vehicle transferred is stored, used, or consumed in Massachusetts .

How do I get a Massachusetts sales tax ID number?

Once you have your EIN , you can register your business to get a MA Sales Tax ID at the Mass Tax Connect site (https://mtc.dor.state. ma .us/). You must bring the final MA Sales Tax ID certificate to the convention.

What taxes do you pay in Massachusetts?


Type of Tax Measure Rate
Tax year 2019 (File in 2020) Nonresident Massachusetts source income 5.05%
Tax year 2019 Withholding Wages 5.05%
Estate Nonresident Federal taxable estate Massachusetts real and tangible property 0.8% – 16%
Alcoholic Beverages Malt (31-gal. bbl.) $3.30

Do I have to register my business in Massachusetts?

Corporations, LLCs and other business entities need to register with the Secretary of the Commonwealth before beginning business in Massachusetts . Annual updates are usually required as well.

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How do I fill out a tax exemption certificate?

To complete a tax exempt form , you will need to provide the following information: Seller’s name. Seller’s address. Buyer’s name. Buyer’s address. Classification of buyer: wholesaler, retailer, manufacturer, seller (California), lessor, other. Description of business.

What products are tax exempt?

In general, clothing , groceries , medicines and medical devices and industrial equipment are sales tax exempt in many states (but don’t assume they’ll be exempt in all states. Every state is different when it comes to sales tax!)

What is the difference between a resale certificate and an exemption certificate?

If you sell items to a business with a resale certificate , do not collect sales tax. Instead, that business will collect sales tax from its customers. Sales tax exemption certificates legally let buyers get out of paying sales tax.

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