Federal, state, and local governments all collect taxes in a variety of ways. State revenues are comprised of property taxes, sales tax, and certain taxes on businesses. Additionally, states levy extra taxes on items such as liquor, tobacco products, and gasoline. In Massachusetts, for example, gasoline is taxed at 21 cents per gallon, sales tax is at 6 percent, and beer is taxed at $3.30 per barrel. Taxes allow Massachusetts and other states to provide essential services and maintain order. Click on a link below to learn more about Massachusetts tax laws and where to go for more information.