Bill > S1933

This bill clarifies the net-worth measure of the corporate excise in Massachusetts. It states that the taxpayer's treatment of an item on their books, such as whether it is considered debt or equity, shall be controlling unless the tax commissioner establishes that the treatment is not in accordance with the accounting standards used by the taxpayer. The bill also allows the commissioner to disallow any unreasonable or improper reserves made with respect to the book value of any asset. Additionally, the bill exempts from the corporate excise certain income of corporations organized outside the United States that is exempt from federal income tax. The bill is intended to clarify the original legislative intention and is applicable to all open tax years.

Budget and Finance

https://malegislature.gov/Bills/192/S1933