How taxes work in Massachusetts
Sales tax. Massachusetts charges a 6.25% statewide sales tax, and counties, cities and special districts add their own on top — which is why the average combined rate of about 6.25% is the number that matters at the till. Groceries are generally exempt from the state sales tax; local rules can differ. Most clothing items under $175 are also exempt.
Property tax. At an average effective rate of about 1.14%, a $350,000 home in Massachusetts carries roughly $3,990 a year in property tax before exemptions. That is near the middle of US states. Local assessors set actual bills, so verify with the county for any specific property.
Income tax. Flat 5% income tax, plus a 4% surtax on income over $1M (total 9% on that portion). If you are self-employed in Massachusetts, you still owe federal self-employment tax plus quarterly state estimates where applicable.
Sales tax · average combined
Property tax · average effective
Chart: DailyFinance.tools · Rates are reviewed averages from our state tax dataset — your exact local rate may differ.
How Massachusetts compares with similar states
The states closest to Massachusetts on average combined sales tax. Property tax is the average effective rate; income tax shows the structure, not a single rate.
| State | Combined sales tax | Property tax | Income tax |
|---|---|---|---|
| Massachusetts (this page) | 6.25% | 1.14% | Flat |
| South Dakota | 6.4% | 1.09% | None |
| Connecticut | 6.35% | 1.63% | Progressive |
| Pennsylvania | 6.34% | 1.49% | Flat |
| Vermont | 6.24% | 1.78% | Progressive |
| All-state average (51 entries) | 6.61% | 1.04% | — |
What this means for your money in Massachusetts
Property tax in Massachusetts sits near the middle nationally: an average effective rate of 1.14% (rank 17 of 51; all-state average 1.04%). On a $400,000 home that is about $4,560 a year, or $380 a month through escrow. No single tax dominates the picture here — the state's overall position is the sum of three middling taxes rather than one extreme one.
Read together: Massachusetts combines an average combined sales tax of 6.25% (rank 35 of 51), an average effective property tax of 1.14% (rank 17 of 51) and a flat state income tax. A household comparing states should compare all three against its own pattern — a high earner who rents weighs the income tax most; a homeowner on a fixed income weighs the property tax most.
Major cities in Massachusetts
Boston, Worcester, Springfield, Cambridge, Lowell. Combined sales-tax rates differ between these cities — sometimes by more than a full percentage point inside the same state — because county and city layers stack on the state base. The Massachusetts sales tax guide breaks down the calculation and links the calculator where you can enter your exact local rate.
Calculators for Massachusetts residents
- Massachusetts Sales Tax Guide & Examples — what you actually pay, with worked amounts.
- Sales Tax & VAT Calculator — add or extract tax at any rate, including your exact Massachusetts local rate.
- Mortgage Calculator — include Massachusetts property tax in the monthly payment.
- Property Tax Calculator — estimate a specific property's bill.
- Self-Employment Tax Calculator — federal SE tax for Massachusetts freelancers.