Key takeaways
- Maine sales tax rates: The state rate is 5.5% with no local sales taxes. Prepared food and on-premises alcohol are taxed at 8%, lodging at 9% and short-term auto rentals at 10%.
- Economic nexus: Remote sellers must collect once gross revenue from Maine sales exceeds $100,000 in the current or previous calendar year. There is no transaction-count threshold.
- Filing & penalties: Returns are due on the 15th of the month after the period. Failure to file costs $25 or 10% of the tax due, whichever is greater, and failure to pay costs 1% per month, up to 25%.
Maine sales tax key facts (2026)
| Item | Maine |
|---|---|
| Statewide rate | 5.5% (no local sales tax) |
| Prepared food / alcohol | 8% |
| Lodging / short-term auto rental | 9% / 10% |
| Economic nexus threshold | $100,000 (no transaction count) |
| Sourcing | Destination-based |
Collect and file Maine sales tax with Taxually: LumaTax monitors your nexus, registers you and files your returns.
Is SaaS taxable?
No.
| Item | Maine |
|---|---|
| Groceries | Exempt (grocery staples) |
| Return due date | 15th of the month after the period |
| Governing agency | Maine Revenue Services |
What is the sales tax rate in Maine?
Maine’s statewide sales and use tax rate is 5.5%, with no local sales taxes — so for most sales the 5.5% rate is all you apply. A few categories carry higher rates: 8% on prepared food and alcoholic drinks served on-premises, 9% on lodging, and 10% on short-term automobile rentals.
Do you have sales tax nexus in Maine?
Nexus is the connection that obligates your business to collect and remit Maine sales tax. You can establish it two ways — physically or economically. Either one is enough.
Physical nexus
You have physical nexus if you have a tangible presence in Maine, such as:
- A business location such as an office or warehouse
- Employees, salespeople, or agents in the state
- Inventory stored in Maine
Economic nexus
Out-of-state sellers establish economic nexus once gross revenue from Maine sales exceeds $100,000 in the current or previous calendar year. Maine uses a dollar threshold only — it removed its former 200-transaction test (effective January 1, 2022).
What is taxable in Maine?
Tangible personal property is generally taxable; most services are not, though some — like installation, maintenance, or repair services — are. Grocery staples, prescription drugs, and certain medical equipment are exempt. Maine also taxes digital products (such as digital audio, video, and e-books) and downloaded prewritten software.
Is SaaS taxable in Maine?
No. Maine does not tax SaaS. (Downloaded prewritten software and digital products, however, are taxable.)
How is food taxed in Maine?
Grocery staples for human consumption are exempt. Prepared food and alcoholic beverages served in licensed establishments are taxed at 8%.
How to register for a Maine sales tax permit
Register with Maine Revenue Services before collecting. Taxually can register for you, or you can apply online through the Maine Tax Portal or by mail. There is no fee.
Have ready: personal identification (SSN, address), business identification (EIN, address), your entity type, and a description of what you sell.
How to collect sales tax in Maine
Collection is simple: with no local taxes, apply 5.5% to most taxable sales (and the special 8%/9%/10% rates where they apply). The same rules apply to remote sellers.
Filing and paying Maine sales tax
Filing frequency is set by liability: monthly ($600+/month), quarterly ($100–$599/month), semi-annual (under $100/month), or annual ($50 or less/year). Returns are due the 15th of the month following the period (next business day if a weekend or holiday).
File and pay through the Maine Tax Portal or by mail (Form ST-7). Taxually’s software automates the full process.
Penalties for late or non-compliant filing
Failing to file or pay on time triggers these penalties:
- Failure to file: $25 or 10% of the tax due, whichever is greater.
- Failure to pay: 1% of the unpaid tax per month, up to 25%.
- Interest accrues on unpaid tax at the current rate.
Frequently asked questions
What is the sales tax rate in Maine in 2026?
A flat 5.5% statewide, with no local sales taxes. Prepared food and on-premises alcohol are 8%, lodging is 9%, and short-term auto rentals are 10%.
What is the economic nexus threshold for Maine?
$100,000 in gross revenue from Maine sales in the current or previous calendar year. There is no transaction-count threshold.
Is SaaS taxable in Maine?
No. SaaS is not taxable. Downloaded software and digital products are taxable.
Are groceries taxed in Maine?
No, grocery staples are exempt. Prepared food and on-premises alcohol are taxed at 8%.
When are Maine sales tax returns due?
The 15th of the month following your reporting period.
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