The Maine (ME) state sales tax rate increased to 5.5%, effective October 1, 2013.

The rate for prepared food, lodging and liquor is now 8%. Food and prescription drugs are exempt.

Maine was listed in Kiplinger’s 2011 10 Tax-Unfriendly States for Retirees.

You have the rates, now it’s time to automate!

Maine 2015 Tax Updates

Maine Revenue Services made only a few changes to the tax code this year – you’ll notice they affect your deductions in a positive way.

If you itemize your deductions and include medical expenses, those will not be included in the maximum deduction amount that Maine implemented last year with itemized deductions. Now medical expenses are deductible above & beyond the itemized deduction threshold of $27,950. Also, you will notice significant changes to the Property Tax Fairness Credit this year, including new income requirements and doubling the amount of the credit! Finally, if you qualify for the Pension Income Deduction, the maximum deduction has been raised from $6,000 to $10,000.

Maine left everything else alone meaning most credits have remained the same this year as well as tax rates. Aside from the changes to deduction amounts, you shouldn’t see any big changes to your return for 2015.

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Supported Maine Tax Forms 2016

FreeTaxFilingUSA supports the following Maine forms:

  • Form 1040ME
  • Schedule CP
  • Schedule PTFC
  • Schedule 1
  • Schedule 2
  • Schedule A
  • Schedule NR
  • Worksheet A
  • Worksheet B
  • Form 1040ME-PV
  • Form 1040ME-ES

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