Are Shoes Taxable in Massachusetts? A Guide to Sales Tax in the Bay State

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Are shoes taxable in Massachusetts?
Clothing: Most items that cost less than $175 are exempt from sales tax, including everyday shoes and even shoelaces (items such as athletic cleats and ski boots, however, are taxable). And for items that cost more than $175, only the amount above $175 is taxed.
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It’s critical to comprehend what is and isn’t taxed while making purchases because sales tax is one of the state of Massachusetts’ major revenue streams. Here, we’ll answer some frequently asked questions concerning Massachusetts’s sales tax, such as whether or not shoes, sunglasses, and yarn are charged.

Is there a shoe tax in Massachusetts?

In a nutshell, yes, Massachusetts taxes shoes. The majority of tangible personal items, including clothing and footwear, is subject to a 6.25% state sales tax. There are a few exceptions to this rule, though. A pair of shoes you buy could not be subject to sales tax if they are made expressly for athletic use, like running shoes. Additionally, shoes priced under $175 are never subject to the state’s sales tax, whereas clothes priced under $175 is always exempt. Are Sunglasses Taxed in Massachusetts?

Massachusetts levies a sales tax on sunglasses. They are classified as tangible personal property, like shoes, and are charged the state’s 6.25% sales tax. However, if you need eyewear for a medical reason, they can be excluded from sales tax. This is due to the fact that in Massachusetts, prescription eyeglasses is exempt from sales tax because it is regarded as a medical device.

Is Yarn Subject to Massachusetts Taxes?

In Massachusetts, yarn and the majority of other tangible personal property are subject to taxation. Clothing and footwear, on the other hand, are an exception and are always exempt from the state’s sales tax if they cost less than $175. If the entire cost of the yarn for a project that would result in a piece of apparel, like a scarf or sweater, is less than $175, you might be able to avoid paying sales tax. Which state levies the highest sales taxes?

Although Massachusetts has one of the nation’s highest sales tax rates at 6.25%, it is not the highest. The state with the highest combined state and local sales tax is California, at 7.25%. With a combined 9.5% sales tax rate, Tennessee, Arkansas, and Louisiana tie for second place, while Louisiana has the third-highest rate at 9.45%. What Kind of Income Is Taxable in Massachusetts?

The amount of income that is subject to Massachusetts state income tax is known as taxable income. This covers earnings from salaries, wages, tips, bonuses, and other types of compensation. Higher earners in Massachusetts pay a higher percentage of their income in taxes thanks to the state’s progressive income tax system. Depending on income level, the state’s income tax rates for tax year 2021 range from 5.0% to 12.0%.

In conclusion, the majority of tangible personal items, such as shoes, sunglasses, and yarn, is subject to the Massachusetts sales tax. For clothes and footwear items that cost less than $175, there are a few exceptions. Massachusetts has a progressive income tax system that varies according to income level. Making wise financial and shopping decisions in the Bay State might be facilitated by understanding these tax regulations.