Massachusetts Contractor Sales Tax 2026
Massachusetts sales tax for contractors 2026. Labor taxable? Materials? Real rules from state revenue department.
Massachusetts sales tax rate for contractors
- Combined rate: 6.25% (no local addition)
- Construction labor taxable: NO - real property labor is exempt
- Tax authority: Massachusetts Department of Revenue
How Massachusetts treats contractor labor
Real property labor exempt. Multiple-quantity threshold reporting requirements for tools and equipment.
Massachusetts-specific rules
Multi-step lien process: Notice of Contract → Statement of Account → Civil action. Strict deadlines at each step.
Massachusetts mechanics lien rights
Beyond sales tax, Massachusetts contractor billing must respect the mechanics lien deadline of 90 days from last work. Preliminary notice: Notice of contract must be recorded before lien claim.
Massachusetts contractor licensing
Massachusetts Office of Consumer Affairs (Home Improvement Contractor Registration) - required for licensed work. $150 registration + Construction Supervisor License $150. Board: https://www.mass.gov/orgs/office-of-consumer-affairs-and-business-regulation.
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