Massachusetts Hotels and Restaurants Can Postpone Tax Payments

Small restaurants and hotels in Massachusetts impacted by the Covid-19 pandemic can delay paying their upcoming meals, room, and sales taxes, Gov. Charlie Baker (R) announced Thursday.

Taxes ordinarily owed by the businesses between March and August can be paid in September without penalty and interest, Baker said.

Restaurants, hotels and other businesses that paid less than $150,000 in regular sales plus meals taxes in the year that ended Feb. 29 will be eligible for temporary relief from sales and meals taxes. Businesses that paid less than $150,000 in room occupancy taxes in the year that ended Feb. 29 are eligible to delay paying room occupancy taxes, Baker said.

The Department of Revenue will make an emergency ruling outlining the details of the tax break. Baker didn’t say when the department would issue the ruling.