For the first time since 2009, the August sales tax reprieve of 6.25 percent will not greet Massachusetts’s residents this year.
Due to falling short fall of tax collections for the fiscal 2016 and a lowered expectation for the fiscal year 2017 by $750 million, the holiday sales tax proposal didn’t go over well with lawmakers this past Monday.
A tradition since August 2004, the holiday meant a spike of business during a slow time when most people are enjoying the warm weather instead of shopping.
But how much it will affect local businesses such as on the famous Newbury Street that boasts stores from retail clothing, restaurants, hairdressers and jewelry is still in question.
“I don’t think there will be a huge affect on Newbury Street,” said Michele Messino the executive director of the Newbury Street League.
She added that the type of retail that typically get the best advantage of the holiday are big item stores that sell items like refrigerators or big screen TV’s. “That is not the type of products we sell,” said Messino. By not having the holiday she added, “It’s not going to have a huge impact.”