Massachusetts Startups

Massachusetts runs its own individual health insurance mandate, separate from the federal rules and still carrying a penalty. Residents over 18 report coverage on Schedule HC, and the coverage must meet the Minimum Creditable Coverage standard set by the Health Connector rather than simply existing. No penalty applies at or below 150% of the federal […]

MassTaxConnect handles bill payments, return payments, estimated payments and extension payments, each through a different route. Bank debit is free, while credit and debit cards carry a third-party convenience fee of 2.39% and 2.09%. A bill payment requires the Letter ID printed on the notice. “It keeps asking for a Letter ID and I have

The Massachusetts corporate excise has two parts. The income measure is 8.0% of net income apportioned to Massachusetts. The non-income measure is $2.60 per $1,000 of either taxable tangible property or taxable net worth, depending on which category the corporation falls into. The two are added together, with a minimum of $456 that cannot be

Massachusetts expects at least 80% of the year’s tax to be paid through withholding and estimated payments, or 100% of the prior year’s tax where a full-year Massachusetts return was filed. Unlike the federal rules, the prior-year percentage does not increase for higher earners. There is no safe harbor for first-year filers. “We just moved

The federal research credit can be elected against payroll taxes by qualifying small businesses, which turns it into cash before profitability. The Massachusetts research credit works differently: it offsets corporate excise, is not refundable for most companies, and carries forward where it cannot be used. Certified life sciences companies are the main exception. “We are

Massachusetts treats prewritten computer software as tangible personal property, taxable regardless of how it is delivered. The regulation lists transfers of rights to use software installed on a remote server among the taxable transfers, which reaches most subscription software. Custom software, data processing, and information services available to multiple subscribers are treated differently. “We are

A Massachusetts assessment can be disputed by filing an application for abatement, generally by the latest of three years from filing the return, two years from assessment, or one year from payment. If the abatement is denied, a petition can be filed with the Appellate Tax Board within 60 days of the determination, or within

Massachusetts issues most e-filed refunds in about 4 to 6 weeks with direct deposit, and paper returns in about 8 to 10 weeks, adding roughly another week if a paper check was requested. Status can be checked without signing in, using the tax year, your Social Security number or ITIN, and the exact refund amount.

MassTaxConnect is the Massachusetts Department of Revenue’s online portal for registering, filing, paying and corresponding about state taxes. Individuals create a logon by validating prior Massachusetts tax information, businesses register the entity, and each account type is added separately. Logons are personal to the user, and a CPA gets access by requesting it rather than