Rates

For due dates, go to DOR Tax Due Dates and Extensions .

Type of Tax Measure Rate Personal income and Fiduciary income f or MA residents, nonresidents, and part-year residents Long term capital gains from dividends, interest, wages, and other income 5.00% Tax year 2026 : For income exceeding $1,107,750, there is an additional surtax of 4% . Tax year 2025 : For income exceeding $1,083,150, there is an additional surtax of 4% . Tax year 2024 : For income exceeding $1,053,750, there is an additional surtax of 4% . Long-term gains from sale or exchange of collectibles 12.00% (subject to a 50% deduction) Tax year 2026 : For income exceeding $1,107,750, there is an additional surtax of 4% . Tax year 2025 : For income exceeding $1,083,150, there is an additional surtax of 4% . Tax year 2024 : For income exceeding $1,053,750, there is an additional surtax of 4% . Short-term capital gains from the sale or exchange of capital assets 8.5% Tax year 2026 : For income exceeding $1,107,750, there is an additional surtax of 4% . Tax year 2025 : For income exceeding $1,083,150, there is an additional surtax of 4% . Tax year 2024 : For income exceeding $1,053,750, there is an additional surtax of 4% . Withholding Wages 5.00% Tax year 2026 : For income exceeding $1,107,750, there is an additional surtax of 4% . Tax year 2025 : For income exceeding $1,083,150, there is an additional surtax of 4% . Tax year 2024 : For wages exceeding $1,053,750, there is an additional surtax of 4% . Estate Federal taxable estate Massachusetts real and tangible property Note : Estates valued under $2 million are not subject to the estate tax Marginal Rates 0.8% - 16% Alcoholic Beverages Malt (31-gal. bbl.) $3.30 Alcoholic Beverages Cider 3%-6% (wine gal.) $0.03 Alcoholic Beverages Still wine, including vermouth (wine gal.) $0.55 Alcoholic Beverages Sparkling wine (wine gal.) $0.70 Alcoholic Beverages Alcoholic beverages 15% or less (wine gal.) $1.10 Alcoholic Beverages Alcoholic beverages more than 15%-50% (wine gal.) $4.05 Alcoholic Beverages Alcoholic beverages more than 50% of alcohol (proof gal.) $4.05 Cigarettes 20-count package $3.51 Smokeless tobacco Smokeless tobacco (percentage of price paid by licensee) 210% Cigars & smoking tobacco Cigars & smoking tobacco (percentage of price paid by licensee) 40% Electronic Nicotine Delivery Systems Wholesale Price 75.00% Deeds Sales price (less mortgage assumed) of real estate $2.28 per $500 Visit TIR 19-14 for surcharge information. Motor fuels Gasoline and diesel fuel per gallon $0.24 Motor fuels Propane, liquefied gas, etc. (no minimum) 29.2% Motor fuels Aviation (10¢ minimum) 38.2% Motor fuels Jet fuel at local option (5¢ minimum) 17.3% Room occupancy State Room Occupancy The state’s room occupancy excise tax rate is 5.7%. Note that while the statute provides for a 5% rate, an uncodified surtax adds .7% to that rate. Room occupancy Local Option In addition to the state excise, Massachusetts cities and towns are permitted to charge a local room occupancy excise tax up to 6% (6.5% for Boston). Room occupancy Convention Center Financing In the cities of Boston, Worcester, Cambridge, Springfield, West Springfield, and Chicopee, an additional 2.75% tax is charged for convention center funding. See TIR 05-01 for more information. Room occupancy Cape Cod and Islands Water Protection Fund In Barnstable, Nantucket and Dukes Counties an additional 2.75% may be charged for the Cape Cod and Islands Water Protection Fund beginning July 1, 2019. Currently this applies for all Barnstable County municipalities. Room occupancy Short-term Rentals Community Impact Fee Beginning July 1, 2019, for short-term rentals only, cities and towns are permitted to charge an additional community impact fee up to 3% if an operator has more than one property in that locality or is renting an owner-occupied 2 or 3 family house on a short-term rental basis. Club alcoholic beverages Gross receipts 0.57% Sales and use tax Sale, rental or use of tangible personal property, including cigarettes, telecommunications services and certain fuel. 6.25% Sales tax on marijuana Adult use marijuana is subject to: a state sales tax a state excise tax a local option for cities or towns 6.25% (state sales tax) 10.75% (state excise tax) up to 3% (local option for cities and towns) Sales tax on meals, prepared food and all beverages All "restaurant" food and on-premises consumption of any beverage in any amount. 6.25% A city or town may also charge a local sales tax on the sales of restaurant meals. Visit TIR 09-13 . Direct broadcast satellite service Gross revenues 5% General Business and manufacturing corporations Net income Tangible property or net worth Minimum $456 8.0% $2.60 per $1,000 S Corporations subject to G.L. c. 63 §§ 32D, 39 that are not Financial Institutions Total receipts $6 million or more but less than $9 million (net income) 2% Total receipts $9 million or more (net income) 3% Net income taxable at the federal level including certain built-in gains that are taxable at the federal level under IRC § 1374 and on passive investment income taxable at the federal level under IRC § 1375. 8% Tangible property or net worth $2.60 per $1,000 Minimum $456 Security corporation Gross income, Non bank holding company Gross income, Bank holding company Minimum 1.32% 0.33% $456 Financial institutions Net income Minimum 9% $456 S Corporations that are Financial Institutions Total receipts $6 million or more but less than $9 million (net income) 2.67% Total receipts $9 million or more (net income) 4% Net income that is taxable at the federal level. 9% Minimum $456 Ship excise tax Value (equity interest) of the corporation's interest in a ship or vessel engaged in interstate or foreign trade. 0.33333% Insurance company Domestic life Premiums 2.0% Foreign life Premiums 2.0% Domestic casualty Premiums 2.28% Domestic casualty Gross investment income 0.0%-1.0% Foreign casualty Premiums 2.28% Ocean marine Underwriting profit 5.7% Motor vehicles garaged outside Massachusetts 90% to 10% of manufacturer's list price $25 per $1,000 Boston sightseeing tour Ticket purchase or any water- or land-based sightseeing tourist venue or entertainment cruise or trolley tour originating or located in Massachusetts and conducted partly or entirely in Boston. 5% Boston vehicular rental transaction surcharge Each vehicular rental transaction contract executed in Boston. $10 In addition to Boston, there is a $10 surcharge in Revere and a statewide $2 surcharge. See TIR 19-4 and TIR 05-14 . Parking facilities surcharge in Boston, Springfield and/or Worcester Parking facilities built in conjunction with or as part of a project authorized by the Convention Center Financing Act in Boston, Springfield or Worcester. $2 per vehicle per day