- Massachusetts Governor Maura Healy proposed a FY26 budget with a 2.6% spending increase.
- The budget aims to stabilize the MBTA, invest in transportation and education, and improve infrastructure and services.
- The proposal includes ending the sales tax exemption for candy, expected to raise $25 million.
- Governor Healy views this as closing a loophole, not a new tax.
- Currently, Massachusetts exempts most food products, including candy, from sales tax.
- The Department of Revenue defines candy as food products with a sugar base, excluding dietary supplements.
- Bakery items are taxed differently based on quantity and consumption context.
- The proposed change extends tax coverage to items previously exempt.
- Other states vary in their approach to taxing candy and groceries.
Source: sovos.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
