TAX & LICENSE / STATE TAX SYSTEM

Individual Income Tax
Maine has a graduated income tax rate that is similar to the federal tax structure. The overall income tax rate is 2.0 percent, with additional tax rates that vary from 4.5 percent to 8.5 percent on income in excess of the prescribed limits under each tax bracket. The Maine Bureau of Revenue provides tax tables and other assistance to taxpayers.

Maine income tax is imposed on all residents and non-residents with a source of Maine income. Those who are not claimed on another tax return, are not subject to the Maine minimum tax, and whose taxable income is $2,000 or less are not required to file. Contact the Maine Bureau of Revenue Services for the latest information relative to your unique situation.

Tax Information Contacts

Maine Revenue Services
General Information
207-624-9694
www.maine.gov/revenue

Income Tax Assistance
207-624-8475

Request Forms
207-624-7894

EFT Information
207-624-5644

Taxpayer Advocate
207-624-9649

Estate Tax
207-626-8480

Excise Tax
207-287-3851

Property Taxes
Local property taxes are based upon assessed valuation and status of property as of April 1st. The taxes are assessed, levied, and collected by municipalities. Property tax bills are issued by each municipality on a yearly, semi-annual, or even quarterly basis. Due dates vary based upon the bill issue date. For more information, contact your local tax officials or the state office:

Maine Revenue Services
Property Tax Division
207-624-5600
www.maine.gov/revenue

Sales/Use Taxes
Maine imposes sales taxes at a rate of 5 percent for general retail and provider services, 7 percent for lodging and prepared food, and 10 percent on short-term vehicle rental. Use taxes are due directly to the state on items purchased outside of Maine like Internet or catalog merchandise that were never taxed.

Real Estate Transfer Tax
A tax is imposed on both the grantor and the grantee upon the privilege of transferring or receiving title to real estate, at the rate of $1.10 per $500 of the amount paid for the property. The county registry of deeds collects this tax at the time the deed is recorded.