Post Content

DOR recently heard about a consumer who paid sales tax on both the price of the beer and the bottle deposit.

To be clear as possible on this, sales tax should be charged on the price of the item(s) before the cost of the bottle deposit is added to the bill. No sales tax should be charged on the cost of the deposit.

In a foot note to Technical Information Release (TIR) 09-11 distributed last summer, DOR wrote that "In calculating the sales tax on alcoholic beverages subject to the container deposit law (beer and malt beverages), G.L. c. 94, §§ 321 – 327, the container deposit is not part of the sales price subject to tax."

If your local package store is charging sales tax on both the price of the product and the bottle deposit, tell them they are doing so improperly and ask them to give you a bill without sales tax on the bottle deposit. And if they do not correct their error, please call DOR's Taxpayer Advocate at 617-626-2201.

One other note — please save the incorrect sales receipt as proof that the error occurred.

Written By:

Recent Posts

Multi-agency investigation in two states leads to charges posted on Nov 19

Earlier this year, the Massachusetts Illegal Tobacco Commission, chaired by DOR Commissioner Amy Pitter, released a report on the illicit tobacco trade which recommends that teaming up with federal, state and local law enforcement can be a successful model for combatting such criminal activity. And   …Continue Reading Multi-agency investigation in two states leads to charges

Top priority: protecting the taxpayer and the Commonwealth’s revenue posted on Oct 8

With identity theft on the rise, the Massachusetts Department of Revenue is taking new steps to combat the problem and protect taxpayers. In some cases, this means asking taxpayers to take a quiz before getting their state refund check. DOR is teaming up with LexisNexis   …Continue Reading Top priority: protecting the taxpayer and the Commonwealth’s revenue

Thinking about the next step in your career? posted on Oct 3

Thinking about the next step in your career?

Dust off that resume! The Department of Revenue is holding a Diversity Career Fair and your next job could be right around the corner. DOR has a number of exciting employment opportunities now available and will have more openings throughout the year.  Whether you’re looking   …Continue Reading Thinking about the next step in your career?