MA H2607

Bill

Relative to single sales factor

Introduced
01/22/2019

In Committee
01/22/2019

Crossed Over

Passed

Dead
12/31/2020

Introduced Session

191st General Court

Bill Summary

Relative to single sales factor in the calculation of taxes for certain financial institutions. Revenue.

AI Summary

This bill proposes changes to the calculation of taxes for certain financial institutions and business corporations in Massachusetts. The key provisions are: 1) Financial institutions can elect to use a single-sales factor formula to apportion their taxable net income to Massachusetts, with the sales factor gradually increasing from 60% in 2015 to 100% in 2019 and thereafter. 2) Similarly, certain business corporations can elect to use a single-sales factor formula, with the sales factor gradually increasing from 60% in 2015 to 100% in 2019 and thereafter. 3) The bill also provides specific rules for sourcing receipts from services and licensing of intangible property when using the single-sales factor formula. 4) The changes are effective for tax years beginning on or after January 1, 2018. The bill aims to modify the apportionment rules for the taxation of financial institutions and certain businesses in Massachusetts, shifting the focus towards a single-sales factor formula over time.

Committee Categories

Budget and Finance

Sponsors (1)

Elizabeth Poirier (R),

Last Action

Accompanied a study order, see H5040 (on 10/15/2020)

Official Document

https://malegislature.gov/Bills/191/H2607

(13 Companion Bills)

Version:

Document Type	Source Location
State Bill Page	https://malegislature.gov/Bills/191/H2607
Bill	https://malegislature.gov/Bills/191/H2607.pdf

Bill	Bill Name	Last Action	Type
H1123	Relative to mergers of credit unions and banks, and charter conversions of insured depository institutions	Accompanied a study order, see H5160	Similar To
H2559	Creating a commission to study the PILOT formula and disbursement	Accompanied H2658	Similar To
H2560	Ensuring consistent reimbursement of PILOT funding	Accompanied a study order, see H5080	Similar To
H2595	To reduce taxes generated by charitable raffles and bazaars	Accompanied a study order, see H5080	Similar To
H2601	Relative to exempting farmers’ markets from certain property taxes	Accompanied a study order, see H5080	Similar To
H4244	Relative to the town of Mattapoisett	Signed by the Governor, Chapter 357 of the Acts of 2020	Similar To
H5040	Study Order - Property Taxes	Discharged to the committee on House Rules	Replaced by
H934	To require financial institutions to pay late fees when it fails to conduct an electronic transfer	Accompanied a study order, see H5160	Similar To
S1702	Relative to excessive executive compensation	Accompanied a study order, see H5080	Similar To
S1703	To authorize cities and towns to increase the local tax rate on meals	Accompanied a study order, see S2549	Similar To
S1727	To clarify the net-worth measure of the corporate excise	Accompanied a study order, see H5040	Similar To
S1765	Granting property tax relief to seniors	Accompanied a study order, see S2549	Similar To
S2439	Relative to wind and solar systems within the town of Mattapoisett	Read second and ordered to a third reading	Similar To

Bill > H2607

MA H2607

summary

Introduced Session

Bill Summary

AI Summary

Committee Categories

Sponsors (1)

Last Action

Official Document

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