Taxes Drive Day After Thanksgiving Shopping Exodus to New Hampshire

November 30, 2009

From the Boston Globe:

Massachusetts shoppers are fleeing the state’s rising sales tax in droves and shopping in New Hampshire. Fueled by necessity – and in some cases anger – customers said they were heading over the border to save money and score deals. Cars with Massachusetts license plates clogged the roads and lots across Salem. And through the early evening yesterday, the Mall at Rockingham Park in Salem and Pheasant Lane Mall in Nashua – both just a few miles over the border – reported spikes in traffic over last year, according to Laurel Sibert, a spokeswoman for Simon Malls, which runs both shopping centers.

“The New Hampshire malls have definitely benefited from the sales tax increase in Massachusetts,” Sibert said.

In August, state officials increased the Massachusetts sales tax to 6.25 percent from 5 percent as a way to help fill holes in the state budget.

Officials estimate that Massachusetts saw a 14% drop in retail sales this summer and a 3% drop for the year. New Hampshire estimates flat or increased sales.

(Hat tip: Patrick Gleason)

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