Bill > S1957

This bill enhances tax credits for families in Massachusetts by making several key changes to the state's tax code. The legislation increases the percentage of the federal tax credit from 40% to 50% and allows taxpayers to claim the credit using either a Social Security Number or an Individual Taxpayer Identification Number (ITIN), expanding access for immigrant families. For families with more than three qualifying children, the bill introduces an additional 5 percentage point increase in the credit per extra child. The bill also broadens eligibility by allowing individuals who are 18 or older (or married to someone 18 or older) to qualify for the credit. Additionally, the bill creates a new household credit of $600 for dependents, with provisions for annual cost-of-living adjustments, and introduces an option for advance payments of the credit. To ensure widespread awareness, the bill mandates that the Department of Revenue (DOR) create multilingual information campaigns about tax credits, collaborate with various organizations to disseminate information, and require employers to post notices about available tax credits. These changes aim to support low-income families and reduce poverty by making tax credits more accessible and generous, with the new provisions set to take effect for tax years beginning on or after January 1, 2025.

Budget and Finance

https://malegislature.gov/Bills/194/S1957