Bill > S1647

This bill aims to close the "single sales factor tax loophole" in Massachusetts. It does this by amending Section 38 of Chapter 63 of the General Laws to change the formula used to apportion a corporation's taxable net income to the state. Specifically, the bill strikes out the current single sales factor formula and replaces it with a formula that takes into account a corporation's property, payroll, and sales factors. The bill also removes certain exemptions and special rules related to the apportionment formula. These changes are intended to ensure that corporations with business activity both within and outside Massachusetts are taxed more fairly based on their overall business operations in the state.

Budget and Finance

https://malegislature.gov/Bills/191/S1647