Maine Consumer Tax Laws
All states collect some variety of consumer taxes, such as liquor and gambling taxes, to help pay for schools, infrastructure needs, and other shared state resources. Most states, including Maine, also levy sales tax on retail transactions.
Maine State Retail Sales Tax Laws
Retail sales tax is the state of Maine's principal tax source. Businesses making retail sales in Maine collect sales tax from their customers on tangible personal property items and some services. Maine's general sales tax rate is 5.5 percent. The state also levies charges of 8 percent on prepared food, lodging and liquor. The tax on short-term car rentals is 10 percent.
Maine Sales Tax Exempt Organizations
The state offers specific exemptions for a number of different kinds of organizations and institutions, such as hospitals, schools, churches and libraries. You can find a list of organizations for which there may be a Maine Sales Tax exemption on the state's Revenue website.
For What Services Do I Need to Pay Taxes in Maine?
You will have to pay sales tax on the following services:
- Extended cable and extended satellite television service;
- Rental of video media and video equipment;
- Rental of furniture, audio media and audio equipment;
- Telecommunications service;
- The installation, maintenance or repair of telecommunications equipment;
- Private non-medical institution services
- Community support services
- Day rehabilitation services
- Personal support services
- Residential training services
Exceptions To The Sales Tax Requirement
In some limited circumstances, a consumer may not have to pay retail sales tax in Maine. For instance, there isn't a tax on groceries and prescription drugs.
The highlights of Maine's consumer tax laws are listed in the following chart. See FindLaw's Tax Law section for more articles and resources.
|Sales Tax||5.5 percent, Tit. 36 §§1811, 1861, Food and prescription drugs are exempt|
|Cigarette Tax||6 percent unless otherwise agreed (Tit. 9-B §432)|
|Gasoline Tax per Gallon||30¢ Tit. 36 §2903|
|Use Tax||5.5 percent, Tit. 36 §1861|
|Liquor Tax||8 percent|
|Gambling Tax||Gambling facilities are taxed at a rate of one (1) percent of all gross gaming revenues, plus 39 percent of net revenues|
Here the term "mills" means one one-thousandth of a dollar, so 10 mills = 10 one-thousandths of a dollar, or.01.
Note: State laws are constantly changing -- contact a Maine tax attorney or conduct your own legal research to verify the state law(s) you are researching.
Research the Law:
- Maine Code
- Official State Codes - Links to the official online statutes (laws) in all 50 states and DC.
Maine Consumer Tax Laws: Related Resources