Bill > S1700

This bill aims to ensure the efficacy of corporate tax expenditures, which refer to tax exclusions, deductions, deferrals, credits, and tax rates established for the purpose of recruiting or retaining businesses or corporations in the Commonwealth. The bill requires the Department of Revenue to conduct performance audits of all corporate tax expenditures, examining their purpose, intended beneficiaries, effectiveness, economic costs and benefits, comparisons to similar tax expenditures, potential redundancies, and fiscal impact on local governments. The audits will also assess the cost-effectiveness of the tax expenditures, their effects on competition and business needs, their impact on diversifying the economy, and recommendations for improving data collection and evaluation in the future. The Department is required to develop a multi-year schedule to review each corporate tax expenditure at least once every three years and to present the audit results to legislative committees and publish them online.

Budget and Finance

https://malegislature.gov/Bills/191/S1700