Post Content

As you know, Governor Baker signed an order on May 1 that took effect on May 6 requiring Massachusetts residents to wear face masks in public when they cannot properly socially distance. Many Massachusetts-based companies have been stepping up to meet the demand for non-medical face masks – some are already established businesses and others are starting anew. DOR wants to make sure taxpayers understand the applicable sales tax rules when purchasing or selling face masks.

If you are already established as a business, you know how to collect and pay sales tax. If you just started a business, you can learn about what to do as a new business here. Generally, you should be collecting tax on sales of face masks, unless they are sold to a non-profit organization, such as a hospital.

If you are purchasing a scarf or bandana to use as a face covering, those items are considered clothing and will not be taxed, unless the purchase price of an individual item is more than $175.00.  Purchases of apparel fabric are also not subject to tax.

We think it’s worth repeating that the Governor discourages residents from using medical grade masks, indicating those should be reserved for medical personnel, first responders, and others on the front lines of the coronavirus pandemic.

Additional Resources:

Written By:

Recent Posts

Free eFile Options for MA Taxpayers posted on Mar 26

Free eFile Options for MA Taxpayers

Learn how to e-file your taxes this tax filing season. It’s easy, secure and it’s free for most Massachusetts taxpayers. Get started today.

MassTaxConnect powers into new year with more speed and precision posted on Dec 21

MassTaxConnect powers into new year with more speed and precision

You know where you’re going. With a few new add-ons, we made it easier to get there. Same road, better ride This January, we hope your 2021 gets off to a smooth start with our enhanced, high performance tax platform. Changes to MassTaxConnect are subtle,   …Continue Reading MassTaxConnect powers into new year with more speed and precision

It’s a new holiday season but some things haven’t changed posted on Dec 11

Scams are rampant but you can protect yourself We are not alone in trying to keep you safe. The IRS and other states are working hard to come up with ways to stop the scammers who never take a holiday. We’ve pulled some of the   …Continue Reading It’s a new holiday season but some things haven’t changed