Lawmakers Back 2-day Sales Tax ‘Holiday’ in August

massachusetts-state-house-300x198BOSTON (AP) — Massachusetts appears on track for another sales tax holiday.

The House on Wednesday voted 136-20 and the Senate 27-11 to suspend the state’s 6.25 percent sales tax on most items during the weekend of August 15 to 16.

Gov. Charlie Baker has indicated his willingness to sign the bill when it reaches his desk, noting the holiday is something consumers have come to expect.

Supporters in the House conceded that the state stands to forego an estimated $25 million in sales tax collections but said the benefits of the tax holiday outweigh the lost revenue. They said it helps consumers, retailers and part-time workers who will get more hours.

Critics call the holiday a “gimmick.”

Cigarettes, cars, motorboats and any item costing more than $2,500 are exempted from the sales tax holiday.

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