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H 3170

Driver's licenses

2025-2026 Regular Session Introduced by Thomas Beach

The bill would cut the statewide sales tax and the meals tax from 6.25% to 5%.

Referred to Committee on Education and Public Works
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WeVote Research Nonpartisan
Bill Summary · H 3170

Summary: H 3170 — An Act relative to lowering the sales tax to 5%

Overview

H 3170, introduced February 27, 2025 by Representative Marc T. Lombardo (Billerica, 22nd Middlesex), proposes to lower the Massachusetts statewide sales tax from 6.25% to 5%. The bill also extends the same 5% rate to the meals/prepared food tax under Chapter 64I. The measure is a straightforward rate reduction with no accompanying reforms or alternative revenue provisions included in the text provided.

Key Provisions

  • Section 1: Amends Chapter 64H, Section 2, by replacing “6.25 per cent” with “5 per cent.”
  • Section 2: Amends Chapter 64I, Section 2, by replacing “6.25 per cent” with “5 per cent.”
  • Implication: The general sales tax on tangible personal property and the tax on meals and prepared foods would both be set at 5% upon enactment (or upon the effective date specified by the act).

Affected parties and scope

  • Consumers: Lower sales taxes on most retail purchases and meals/prepared foods.
  • Retailers and food/service businesses: Changes to the applicable tax rate collection; potential administrative adjustments to payroll, POS systems, and reporting.
  • State and local revenue: Likely reduction in tax revenue relative to current law; the bill text provided does not include any built-in offset or revenue-raising measures.

Legislative history and status

  • Introduced: February 27, 2025.
  • Petition of: Marc T. Lombardo, representing the 22nd Middlesex district.
  • Referred to: Committee on Revenue (02/27/2025).
  • Related actions: The Senate reportedly concurred on related considerations; the bill is part of a package with similar prior proposals (see HD 264 from prior sessions).
  • Committee hearing: Scheduled for September 29, 2025, from 01:00 PM to 05:00 PM in hearing room A-1.

Procedural notes and timeline

  • The bill is in the early legislative stage, with a scheduled public hearing to gather testimony.
  • Passage would require approval by both chambers (House and Senate) and signature by the Governor.
  • The bill document references a related measure filed in 2023-2024 (HD 2880), indicating ongoing interest in a 5% rate in prior sessions.

Fiscal and practical considerations

  • Revenue impact: A reduction from 6.25% to 5% would decrease state tax revenue, affecting the General Fund and any programs funded by the sales/meal taxes. The provided text does not include a revenue impact estimate.
  • Implementation: Administrative updates would be required for tax collection systems and reporting to reflect the new rate.
  • Sunset or offsets: The bill text does not indicate sunset provisions or revenue offsets; none are stated in the excerpts provided.

Compiled from official sources — confirm details with the bill’s official record.

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