Bill > S2027

This bill amends Chapter 62C of the Massachusetts General Laws to establish comprehensive guidelines for tax liability settlements between taxpayers and the Massachusetts tax commissioner. The bill allows the commissioner to enter into written agreements with taxpayers to resolve tax liabilities, with agreements becoming final and conclusive unless fraud or mutual mistake is proven. Taxpayers must be in compliance with filing requirements before making a settlement offer, and compromises can be made when there is doubt about tax liability, collectability, or to promote effective tax administration. The bill outlines specific conditions for settlements, including requiring taxpayers to be financially responsible and potentially mandating a three-year future compliance period. The settlement process includes options for lump-sum offers (5 or fewer installments) and periodic payment offers (36 or fewer installments), with initial payment requirements and specific submission guidelines. Importantly, the bill requires that any settlement proposing to reduce the tax liability by $50,000 or more must be reviewed by the Attorney General, and it establishes procedures for offer review, administrative appeals, and taxpayer notifications. The goal is to provide a transparent, structured process for resolving tax disputes while ensuring fairness and maintaining public confidence in tax administration.

Budget and Finance

https://malegislature.gov/Bills/194/S2027