An Act to allow cities and towns to increase the local tax rate on meals

HD 988 allows cities and towns in Massachusetts to increase their local tax rate on meals by up to 1.5 percentage points. This amendment to Chapter 64L of the General Laws directly affects municipalities that currently impose a local meal tax, enabling them to raise revenue through this specific tax. The key mechanism is modifying the existing tax rate structure to include the 1.5% increase option, which would apply to food and beverage sales within those local jurisdictions. This change provides local governments with a new tool to fund municipal services through an existing tax category.