Bill > S1445

This bill proposes to amend Massachusetts General Laws Chapter 62C by adding a new section that creates a "jobs incentive credit" for businesses that create new jobs in the Commonwealth. The credit is calculated based on the salary paid to eligible new employees, subject to Massachusetts income tax withholding, and is spread equally over three years. To qualify, a business must demonstrate an increase in its "weighted average employment" (a measure of jobs maintained in-state, adjusted by how much each employee contributes to the job's creation and their time spent working in Massachusetts) compared to the previous year. The credit is capped at 50 eligible jobs, with the credit amount determined by the salary of the first 50 jobs created. Businesses must apply to the Commissioner of Revenue for the credit and submit annual reports to verify continued eligibility, with disqualification occurring if employment levels drop. The program is set to sunset on June 30, 2016, after which the Commissioner of Revenue will conduct a cost-benefit analysis and report findings and recommendations to the legislature.