ADMINISTRATIVE PROVISIONS RELATIVE TO STATE TAXATION

M.G.L. pt. Part I, tit. Title IX, ch. c. 62C

in effect

M.G.L. c. 62C, § 1 Definitions

c. 62C, § 1. Definitions Section 1. The following words as used in this chapter shall, unless the context otherwise requires, have the following meanings: ''Administering agency head'', the agency head responsible for administering the applicable state tax credit program; provided, however, that for the brownfields tax credit, the film tax credit and the medical device tax credit, the administering agency shall be the commissioner. ''Authorized tax credit'', a tax credit granted pursuant to a tax credit program. ''Building contractor'', any general contractor, subcontractor or repairman who is engaged in the business of constructing or improving real property. ''Code'', the Internal Revenue Code of the United States in effect on July first, nineteen hundred and eighty-three. ''Commissioner'', the commissioner of revenue. ''Materialman'', a person primarily engaged in the retail sale of building material, tools and equipment to building contractors for the improvement of real property and authorized by law to file a mechanics lien upon real property for improvements related to the property. For the purposes of this definition, ''primarily engaged'' shall mean sales of 50 per cent or more of total sales to building contractors. ''Principal reporting corporation'', the corporation responsible for the filing of a combined report of income pursuant to section 32B of chapter 63, or any successor thereof, as may be provided for in regulations or other guidance issued by the commissioner. ''Promoter'', a person who, either directly or indirectly, rents, leases or grants a license to use space to a person for the display for sale or for the sale of tangible personal property subject to tax under chapter 64H. ''Secretary'', the secretary of administration and finance. ''Show'', a flea market, either indoor or outdoor, craft show, antique show, coin show, stamp show, comic book show fair and any similar show, whether held regularly or of a temporary nature at which more than one vendor displays for sale or sells tangible personal property subject to tax. ''Tax'', any tax, excise, interest, penalty, or addition to tax imposed by this chapter or the statutes referred to in section two. ''Tax credit program'', (i) the tax credit in subsection (j) of section 6 of chapter 62 and section 38Q of chapter 63; (ii) the dairy farmer tax credit in subsection (o) of said section 6 of said chapter 62 and the dairy farm tax credit in section 38Z of said chapter 63; (iii) the U.S.F.D.A. user fees credit in section 31M of said chapter 63 and subsection (n) of said section 6 of said chapter 62; (iv) the film tax credit in subsection (b) of section 38X of said chapter 63 and subsection (l) of said section 6 of said chapter 62; (v) the historic rehabilitation tax credit in section 38R of said chapter 63 and section 6J of said chapter 62; (vi) the life sciences investment tax credit in section 38U of said chapter 63 and subsection (m) of said section 6 of said chapter 62; (vii) the low-income housing tax credit in section 31H of said chapter 63 and section 6I of said chapter 62; (viii) the medical device tax credit in section 31L of said chapter 63 and section 61/2 of said chapter 62; (ix) the refundable research credit in subsection (j) of section 38M of said chapter 63; (x) the economic development incentive program in subsection (g) of said section 6 of said chapter 62 and section 38N of said chapter 63; (xi) the donated land tax credit in subsection (p) of said section 6 of said chapter 62 and section 38AA of said chapter 63; and (xii) any transferrable or refundable credits under chapter 62 and 63 established on or after July 1, 2010.

M.G.L. c. 62C, § 2 Application of chapter

c. 62C, § 2. Application of chapter Section 2. The provisions of this chapter shall, so far as pertinent and consistent, apply to the taxes imposed by chapter sixty A; by chapters sixty-two through sixty-five C, inclusive; by section ten of chapter one hundred and twenty-one A; by section twenty-one of chapter one hundred and thirty-eight; and by any act in addition thereto or amendment thereof.

M.G.L. c. 62C, § 3 Administration by commissioner; forms; regulations and rulings; issuance of technical information releases and letter rulings; public notice; missing children inserts

c. 62C, § 3. Administration by commissioner; forms; regulations and rulings; issuance of technical information releases and letter rulings; public notice; missing children inserts Section 3. The administration of this chapter, and of the statutes referred to in section two, is vested in the commissioner. All forms necessary and proper for the enforcement of this chapter and the statutes referred to in section two shall be prescribed and furnished by the commissioner. The commissioner may prescribe regulations and rulings, not inconsistent with law, to carry into effect the provisions of said statutes, which regulations and rulings, when reasonably designed to carry out the intent and purposes of said provisions, shall be prima facie evidence of their proper interpretation. Any regulations issued by the commissioner for the interpretation and enforcement of the provisions of chapter sixty-five C shall conform so far as the commissioner may deem practicable to the regulations relating to the estate tax laws of the United States. Within four months of a final court decision interpreting Massachusetts tax law, the commissioner shall issue a technical information release setting forth the department of revenue's position relative to said court decision. The time for issuing a final technical information release may be extended where the commissioner has submitted a draft release for public comment or has determined regulatory action is required. A technical information release shall not be required where the decision relates solely to jurisdiction, confirms a long-standing policy of the department of revenue or affects the interest of the immediate taxpayer only. The commissioner shall issue letter rulings within 120 days of the receipt of a written request by a taxpayer. If the commissioner determines that additional time is needed to respond to the request for a letter ruling, he shall notify the taxpayer in writing and specify a date on which the ruling will be issued. Any taxpayer requesting a letter ruling shall provide the commissioner with all information necessary to make such ruling. The commissioner shall provide public notice to taxpayers of any changes in the tax law, including but not limited to, changes in department of revenue policy, regulatory changes, recent court decisions and the department of revenue's policy with regard to recent court decisions by making all regulations, technical information releases, letter rulings, directives, guides and other publications available to the public at the department and at other public facilities at the discretion of the commissioner. Public notice may include publication on the internet. Any regulation made available to the public shall be accompanied by a fact sheet or other summary explaining the provisions of the regulation. In any year in which the colonel of the state police delivers to the commissioner of revenue by September 30, or such later date as may be agreed upon, sufficient copies of missing children inserts or pamphlets in a form, size and weight as prescribed by the commissioner not to exceed 4 pages, and in a form suitable for mailing, and in accordance with such other reasonable specifications as he may prescribe, the commissioner of revenue shall cause such inserts to be sent by mail to each taxpayer to whom the commissioner of revenue intends to mail a copy of the current year's personal income tax return form or booklet. All costs associated with the production and duplication of such inserts shall be borne by the colonel of the state police and all costs associated with the insertion and mailing of such inserts shall be borne by the commissioner of revenue. The commissioner of revenue may promulgate such regulations or other guidelines as he deems necessary.

M.G.L. c. 62C, § 3A Disallowance of sham transactions and related doctrines; burden on taxpayer to show business purpose and economic substance commensurate with claimed tax benefit

c. 62C, § 3A. Disallowance of sham transactions and related doctrines; burden on taxpayer to show business purpose and economic substance commensurate with claimed tax benefit Section 3A. In applying the laws referred to in section 2, the commissioner may, in his discretion, disallow the asserted tax consequences of a transaction by asserting the application of the sham transaction doctrine or any other related tax doctrine, in which case the taxpayer shall have the burden of demonstrating by clear and convincing evidence as determined by the commissioner that the transaction possessed both: (i) a valid, good-faith business purpose other than tax avoidance; and (ii) economic substance apart from the asserted tax benefit. In all such cases, the taxpayer shall also have the burden of demonstrating by clear and convincing evidence as determined by the commissioner that the asserted nontax business purpose is commensurate with the tax benefit claimed. Nothing in this section shall be construed to limit or negate the commissioner's authority to make tax adjustments as otherwise permitted by law.

M.G.L. c. 62C, § 4 Forms; provisions respecting fractional parts of a dollar; credit, refund, or abatement

c. 62C, § 4. Forms; provisions respecting fractional parts of a dollar; credit, refund, or abatement Section 4. The commissioner may by regulation provide with respect to any amount required to be shown on a form prescribed by him for any return, statement, or other document that, if such amount is other than a whole dollar amount, the fractional part of a dollar shall be disregarded unless it amounts to one half dollar or more, in which case the amount determined without regard to the fractional part of a dollar shall be increased by one dollar. The provisions of the above paragraph shall not be applicable to items which must be taken into account in making the computations necessary to determine the amount required to be shown on the form, but shall be applicable only to such final amount. In the assessment or collection of any tax, or in the allowance of any amount as a credit, refund, or abatement, the commissioner, may, under regulations issued by him, disregard a fractional part of a dollar unless it amounts to fifty cents or more, in which case it shall be increased to one dollar.

M.G.L. c. 62C, § 5 Returns; filing; declaration covering perjury; improper filings

c. 62C, § 5. Returns; filing; declaration covering perjury; improper filings Section 5. Any return, document or tax payment required or permitted to be filed under this chapter shall be filed with or transmitted to the commissioner in such manner, format and medium as the commissioner shall from time to time prescribe; shall contain such information as the commissioner deems pertinent; and shall contain or be accompanied by a declaration, in such form as prescribed by the commissioner, that such return or document is made under the penalties of perjury. Any return, document or payment submitted in a manner or medium other than that prescribed by the commissioner shall not be deemed to have been filed.

M.G.L. c. 62C, § 5A Non-custodial parents; indication of status on income tax return

c. 62C, § 5A. Non-custodial parents; indication of status on income tax return Section 5A. The commissioner shall require that the information required pursuant to section five shall include, on returns filed pursuant to chapter sixty-two, an indication of whether the individual is a non-custodial parent.

M.G.L. c. 62C, § 6 Persons required to make returns; fiduciaries; time for making

c. 62C, § 6. Persons required to make returns; fiduciaries; time for making [Subsection (a) effective for taxable years beginning on or after January 1, 2024. See 2023, 50 Sec. 46.] Section 6. (a)(1) Every individual inhabitant of the commonwealth who receives or accrues during the taxable year Massachusetts gross income, as defined in section 2 of chapter 62, in excess of $8,000 shall make a return of such income. Every nonresident whose Massachusetts gross income, determined in accordance with section 5A of chapter 62, exceeds $8,000 or the personal exemption to which such nonresident may be entitled under section 3 of said chapter 62, whichever is the lesser, and every partnership, association or trust whose federal gross income, as defined in section 1 of said chapter 62, exceeds $100, shall make a return of such income. Every individual, not otherwise required to file a return under this subsection, who is a resident for a portion of a 12–month period beginning on the first day of a taxable year and a nonresident for a portion of the same 12–month period and whose Massachusetts gross income, as defined in section 2 of chapter 62, exceeds $8,000 shall make separate returns as a resident and a nonresident of his income subject to taxation under said chapter 62. A husband and wife may make a single return jointly of income taxes under chapter 62, even though one of the spouses has neither income nor deductions, provided that their taxable years begin on the same day and either end on the same day or on different days solely because of the death of either or both. Such return shall be known as a joint return and shall include the income, exemptions and deductions of both spouses. Each spouse shall be jointly and severally liable for the entire tax. [Paragraph (2) of subsection (a) effective for taxable years beginning on or after January 1, 2024. See 2024, 140, Secs. 251 and 264.] (2) A married couple shall file a joint return for any year in which they file a joint federal income tax return; provided, however, that this requirement shall not apply if at least 1 of the spouses would not otherwise be required to make a return under paragraph (1) because their Massachusetts gross income did not exceed $8,000. In cases where 1 spouse or both spouses are non-residents of the commonwealth and have items of income, exemptions or deductions unrelated to their Massachusetts income, the department shall provide, by regulation, for appropriate adjustments or for exemption from the requirement to file a joint return. (b) Every executor, administrator, trustee, guardian, conservator, trustee in bankruptcy, assignee for the benefit of creditors and receiver, other than a receiver of a business corporation, every fiduciary referred to in section twenty-five of chapter sixty-two and every other person receiving income taxable under chapter sixty-two which exceeds one hundred dollars, shall make an annual return of his taxable income. An executor or administrator shall file a return under this section if his decedent received any such amount not returned by the decedent as to which a tax under chapter sixty-two may still be assessed within the time limited by section twenty-six of this chapter. If a person has been appointed executor or administrator after January first in any year, the return of such income received by his decedent but not reported by him shall be due and shall be filed on or before the fifteenth day of the fourth month after the date of such appointment. Every such fiduciary intending to make final distribution of an estate or trust before the end of any year shall file immediately prior to such distribution a return under this section of all such income received by him and by his decedent during said year and prior to such distribution, and the taxes thereon shall become due and payable forthwith. (c) Except as otherwise provided, returns under this section shall be made on or before the fifteenth day of the fourth month following the close of each taxable year.

M.G.L. c. 62C, § 7 Partnerships required to file returns

c. 62C, § 7. Partnerships required to file returns Section 7. Every partnership having a usual place of business in the commonwealth shall file, on or before the fifteenth day of the third month following the close of each taxable year, an information return sworn to by a member of the partnership. Such return shall include the partnership's income or losses from sources taxable under chapter sixty-two, any deductions or credits attributable thereto, the names and addresses of the partners and the distributive shares of the various classes of partnership income, losses, deductions or credits apportioned to each, and such other information as the commissioner may require in order to determine the taxable income of each partner.

M.G.L. c. 62C, § 8 Annual reports by entities doing business in the state; trustee and fiduciary reports

c. 62C, § 8. Annual reports by entities doing business in the state; trustee and fiduciary reports Section 8. Every individual, corporation, partnership, association, trust, estate, organization, society, club, governmental agency or any other entity doing business in the commonwealth shall report annually to the commissioner, in such form as he may from time to time prescribe, giving the names and addresses of all residents of the commonwealth and other persons deriving income in the commonwealth to whom it has paid any income subject to taxation under chapter sixty-two during the preceding calendar year on the same basis as is required by the federal government under the Code; provided, however, that the commissioner may require additional reporting requirements that differ from those required by the federal government under the Code; and provided further, that the report shall state the amount of income paid by the payor. The same basis of reporting shall be utilized for income that is subject to taxation or withholding under chapter 62 or 62B but is not subject to taxation or withholding under the Code. Every trustee or other fiduciary who is an inhabitant of or has derived his appointment from a court of the commonwealth and who in such capacity receives income which, if received by an individual inhabitant of the commonwealth, would be taxable under chapter sixty-two, but which is not so taxable to such trustee or fiduciary, shall file with the commissioner for each calendar year during which he has distributed to such an inhabitant any such income not previously returned, and upon final distribution of the estate or trust in case any such income is distributed as aforesaid, a return in such form as the commissioner may from time to time prescribe, giving the name and residence of every such inhabitant and the amount and kind of income so distributed to him which is taxable under chapter sixty-two. The returns and reports required by this section shall be made on or before June first in each year; but the commissioner may authorize them to be made at any other date and in connection with any other reports or returns that may be required to be filed with him.

M.G.L. c. 62C, § 8A Show promoters; reports; records

c. 62C, § 8A. Show promoters; reports; records Section 8A. Every promoter shall file with the commissioner a report for each calendar month for all shows held within the commonwealth with respect to which he was a promoter, listing the date and place of each show and the name, address and vendor registration number, by show, of every person whom he permitted to display for sale or to sell tangible personal property subject to tax under chapter sixty-four H at such show. Such report shall be filed within twenty days after the end of such calendar month. Every person shall furnish the promoter of any show at which such person displays for sale or sells tangible personal property subject to tax under chapter sixty-four H with a statement of his name, address and vendor registration number for the promoter's use in filing the report required herein. Every promoter shall keep a record of the date and place of each show and the name, address and vendor registration number of every person whom he permits to display for sale or to sell tangible personal property subject to tax under chapter sixty-four H at such show. Such records shall be open to inspection and examination at any reasonable time by the commissioner or his duly authorized representative and such records shall, unless the commissioner consents in writing to an earlier destruction, be preserved for three years after the date the report was filed or the date it was due, whichever occurs later, except that the commissioner may by regulation require that they be kept for a longer period of time. Such records may be kept within the meaning of this section when reproduced on any photographic, microfilm or other process which actually reproduces the original record.

M.G.L. c. 62C, § 8B Employment-sponsored health plans; annual statements for covered individuals; penalties

c. 62C, § 8B. Employment-sponsored health plans; annual statements for covered individuals; penalties Section 8B. (a) An employer or other sponsor of an employment-sponsored health plan shall (i) provide, or contract with service providers or insurance carriers to provide, a written statement, annually on or before January 31 of each year, to each subscriber or covered individual residing in the commonwealth to whom it provided creditable coverage, as defined in chapter 111M, in the previous calendar year and (ii) provide a separate report verifying the statement to the commissioner. (b) If a resident is not covered under a Massachusetts-based employment-sponsored health plan, the office of Medicaid and carriers licensed or otherwise authorized to offer health coverage under chapters 175, 176A, 176B, and 176G shall (i) provide, or contract with service providers to provide, a written statement, annually on or before January 31 of each year, to each subscriber or covered individual residing in the commonwealth to whom it provided creditable coverage, as defined in said chapter 111M, in the previous calendar year and (ii) provide a separate report verifying the statement to the commissioner. (c) The statements and reports shall identify the carrier or employer, the covered individual and covered dependents, the insurance policy or similar numbers and the dates of coverage during the year, and shall provide other information as required by the commissioner of revenue for the purposes of chapter 111M. Such information shall be limited to the minimum amount of personal information necessary, shall not include information about diagnoses or treatments and, except for the office of Medicaid, shall not include social security numbers. The commissioner of revenue, in consultation with the commissioner of insurance, may specify the content and format of the statements and reports. The commissioner of revenue may disclose the information in the statements and reports to the division of insurance, the division of health care finance and policy and the commonwealth health insurance connector. The information in the statements and reports shall be confidential and shall not constitute a public record. (d) The commissioner of revenue, in consultation with the commissioner of insurance pursuant to section 7B of chapter 26, shall promulgate regulations or other written guidance to implement this section, which may include an allowance for reporting alternatives for family or other joint coverage. (e) Carriers, employers or other sponsors of employment-sponsored health plans that fail to provide written statements to covered individuals or to report to the commissioner in violation of this section shall be punishable by a penalty of $50 per individual to which the failure relates, not to exceed $50,000 per year per violator. The commissioner shall assess such penalties as a tax subject to chapter 62C but, in his discretion, may waive all or any portion of such penalties for reasonable cause shown.

M.G.L. c. 62C, § 9 Failure to file returns required by Sec. 6 or Sec. 7; petition for mandamus; hearings; costs

c. 62C, § 9. Failure to file returns required by Sec. 6 or Sec. 7; petition for mandamus; hearings; costs Section 9. If any person fails to file an income tax return required by section six or seven of this chapter, any justice of the supreme judicial or the superior court, on petition of the commissioner or of any ten taxable inhabitants of the commonwealth, shall issue a writ of mandamus requiring such person to file such return. The order of notice on the petition shall be returnable not later than ten days after the filing thereof. The petition shall be heard and determined on the return day or on such day thereafter as the court shall fix, having regard to the speediest possible determination of the cause consistent with the rights of the parties. The judgment shall include costs in favor of the prevailing party. All writs and processes may be issued from the clerk's office in any county, and, except as aforesaid, shall be returnable as the court orders.

M.G.L. c. 62C, § 10 Withholding tax returns; payment

c. 62C, § 10. Withholding tax returns; payment Section 10. Every employer who is required to deduct and withhold taxes under section two of chapter sixty-two B shall file returns and make payments of such taxes in the manner prescribed in regulations prepared by the commissioner. Such regulations, in so far as practicable shall generally conform to the payment requirements of the federal withholding law established pursuant to the regulations promulgated under applicable sections of the Code.

M.G.L. c. 62C, § 11 Corporate returns

c. 62C, § 11. Corporate returns Section 11. Except as otherwise provided in this chapter, every business corporation, as defined in section 30 of chapter 63, shall file a return providing such information as the commissioner deems necessary for the determination of the taxes imposed upon it by said chapter 63. Except as otherwise provided in this chapter, an S corporation, as defined under section 1361 of the Internal Revenue Code, as amended and in effect for the taxable year, shall file a return on or before the fifteenth day of the third month following the close of each taxable year, and any other business corporation shall file a return on or before the fifteenth day of the fourth month following the close of each taxable year. The filing of a combined report pursuant to section 32B of chapter 63 in the manner prescribed by the commissioner shall satisfy the filing requirements of this section for any business corporation that, pursuant to such combined report, calculates and reports its own individual corporate excise liability based on the income and non-income measures of the corporate excise or minimum excise tax as applicable under section 32D or 39 of said chapter 63. A combined report shall not constitute a filing under this section for any business corporation that does not calculate and report its own individual corporate excise liability under said sections 32D and 39 of said chapter 63, whether or not such business corporation's income, sales or other attributes may be taken into account in the calculation of the excise under this chapter of an affiliated corporation that does calculate and report an individual corporate excise pursuant to such combined report.

M.G.L. c. 62C, § 11A Filing by means of combined report; principal reporting corporation treated as agent for all participating corporations with respect to required notices and actions

c. 62C, § 11A. Filing by means of combined report; principal reporting corporation treated as agent for all participating corporations with respect to required notices and actions Section 11A. In the case of 1 or more corporations that participate or are required to participate in a filing by means of a combined report under section 32B of chapter 63, the commissioner may treat the principal reporting corporation as the agent for all such corporations with respect to all notices and actions authorized or required by this chapter and said chapter 63, whether relating to the income measure or non-income measure of the corporate excise of any such corporation or to the minimum excise tax liability of any such corporation. Such notices and actions include, without limitation: (i) notices and actions associated with processes such as assessment of tax; (ii) execution of consents to extend the time for assessment of tax; (iii) abatements; (iv) hearing requests; (v) refunds; and (vi) collection activity. Nothing in this section shall preclude the commissioner from separately taking any such action or directing any notice to any individual corporation subject to tax under said chapter 63, even where such corporation participated in or was required to participate in the filing of a combined report. Under this chapter, the commissioner may collect any unpaid tax from any individual corporation participating or required to participate in a filing through the means of a combined report to the extent of the joint and several liability for such amount under subsection (e) of said section 32B of said chapter 63.

M.G.L. c. 62C, § 12 Banks, insurance companies and certain other corporations; additional returns; contents

c. 62C, § 12. Banks, insurance companies and certain other corporations; additional returns; contents Section 12. (a) Every financial institution, as defined in section 1 of chapter 63, shall, on or before the fifteenth day of the fourth month following the close of each taxable year, make a return to the commissioner giving such information as the commissioner considers necessary for the determination of the tax imposed by section 2 of chapter 63. If any financial institution shall have participated in filing a consolidated return of income to the federal government, it shall file with the commissioner a statement of net income showing its gross income and deductions in accordance with the law and regulations governing the usual federal returns of corporations not so participating. [There is no paragraph (b) or (c).] (d) Every life insurance company shall annually, on or before April fifteenth, make a return to the commissioner giving such information as the commissioner may deem necessary for the determination of the tax due under sections twenty and twenty-one of chapter sixty-three for the preceding calendar year. (e) Every insurance company liable to taxation under section twenty-two, twenty-two A, twenty-two B or section twenty-three of chapter sixty-three shall annually, on or before April fifteenth, make a return to the commissioner giving such information as the commissioner may deem necessary for the determination of the excise thereby imposed. (f) Every marine, or fire and marine, insurance company liable to taxation under section twenty-nine A of chapter sixty-three shall annually, on or before the fifteenth day of May, make a return to the commissioner, setting forth the underwriting profit or loss, ascertained as provided in said section twenty-nine A, for the taxable year or years required by the pertinent paragraph of subsection (6) thereof, giving such other information as the commissioner may deem necessary for the determination of the excise imposed by that section. [There is no paragraph (g).] (h) Every corporation organized under general or special laws of the commonwealth for purposes of business or profit, having a capital stock divided into shares, except banks otherwise taxable under chapter sixty-three, except insurance companies with capital stock and mutual insurance companies with a guaranty capital or permanent fund whose premiums are otherwise taxable under chapter sixty-three, and except corporations taxable under sections thirty to forty-two B, inclusive of chapter 63, in addition to all returns required by this chapter, and in addition to any returns otherwise required under chapter sixty-three, shall annually, on or before the fifteenth day of April, make a return to the commissioner stating the name and place of business of the corporation, and setting forth as of January first of the year in which the return is made: First. The total authorized amount of its capital stock; the amount issued and outstanding and the amount then paid thereon; the classes, if any, into which it is divided; the par value and number of its shares; the market value of the shares of each class of its stock outstanding. Second. A statement of the assets, both within and without the commonwealth, belonging to the corporation, with the value thereof, and of the liabilities of the corporation. Third. A statement of the profit or loss resulting from the business of the corporation for the twelve months ending with December thirty-first preceding the year in which the return is made. (i) Every corporation subject to taxation under section sixty-seven of chapter sixty-three and owning an interest in any ship or vessel shall on or before the fifteenth day of the fourth month following the close of each taxable year, make a return to the commissioner, setting forth in detail the name of the ship or vessel, the interest of the corporation therein, and the value of such interest. (j) Every corporation subject to taxation under section ten of chapter one hundred twenty-one A shall on or before April fifteenth of each year make a return for the preceding calendar year giving such information as the commissioner requires for the determination of the tax imposed by said section. (k) The filing of a combined report pursuant to section 32B of chapter 63 in the manner prescribed by the commissioner shall satisfy the filing requirements under subsection (a) for any financial institution that, pursuant to such combined report, calculates and reports its own individual corporate excise liability based on the income measure or minimum excise tax, as applicable, under section 2 or 2B of said chapter 63. A combined report shall not constitute a filing under subsection (a) for any financial institution that does not so calculate and report its own individual corporate excise liability under said section 2 or 2B of said chapter 63, whether or not such financial institution's income, sales or other attributes may be taken into account in the calculation of the excise under this chapter of an affiliated corporation that does calculate and report an individual corporate excise pursuant to such combined report.

M.G.L. c. 62C, § 13 Tangible personal property; reports by organizations filing return under Sec. 11 or Sec. 12

c. 62C, § 13. Tangible personal property; reports by organizations filing return under Sec. 11 or Sec. 12 Section 13. The commissioner may require from any corporation, company, organization or association required to file a return under sections eleven or twelve of this chapter to report in such return such information as the commissioner deems necessary relative to tangible personal property situated in this commonwealth with respect to which such corporation, company, organization or association is either lessor or lessee. Failure to supply such information when required shall make the return an insufficient return under section twenty-eight of this chapter.

M.G.L. c. 62C, § 14 Report of gross receipts by taxpayers subject to chapter 63A; computation of tax

c. 62C, § 14. Report of gross receipts by taxpayers subject to chapter 63A; computation of tax Section 14. Every taxpayer subject to taxation under chapter sixty-three A shall on or before April fifteenth of each year make a return to the commissioner of the total amount of its gross receipts for the preceding calendar year and compute the amount of the tax prescribed by section two of chapter sixty-three A.

M.G.L. c. 62C, § 15 Signing of returns required by Secs. 11 to 14

c. 62C, § 15. Signing of returns required by Secs. 11 to 14 Section 15. Returns required by sections eleven to fourteen, inclusive, shall be signed by the treasurer or assistant treasurer, or in their absence or incapacity by any other principal officer, of the corporation, company, organization or association making the return.

M.G.L. c. 62C, § 16 Filing of returns by taxpayers subject to chapters 64A and 64C, 64E to 64J, 64L to 64M and 138

c. 62C, § 16. Filing of returns by taxpayers subject to chapters 64A and 64C, 64E to 64J, 64L to 64M and 138 Section 16. (a) Every distributor and unclassified exporter, as defined in paragraphs (c) and (j) of section one of chapter sixty-four A, shall, on or before the twentieth day of each month file with the commissioner a return stating the number of gallons and the selling price of fuel sold by him in the commonwealth or exported or caused to be exported from the commonwealth during the preceding calendar month and such other information as the commissioner may deem necessary. Every unclassified importer, as defined in paragraph (i) of section one of chapter sixty-four A, shall, on or before the twentieth day of each month file with the commissioner a return stating the number of gallons of fuel imported or caused to be imported into the commonwealth during the preceding calendar month, and such other information as the commissioner may deem necessary, including information relative to the cost of such fuel by type. [There is no subsection (b).] (c) Every licensee under section two of chapter sixty-four C, other than an unclassified acquirer or a retailer, shall, on or before the twentieth day of each calendar month file with the commissioner a return for each place of business maintained, stating the quantity of tobacco products sold by such licensee in the commonwealth during the preceding calendar month and such return shall contain or be accompanied by such further information as the commissioner shall require; provided, that if a licensee ceases to sell tobacco products within the commonwealth he shall forthwith file with the commissioner such a return for the period ending with such cessation. Each unclassified acquirer shall, upon importation or acquisition of tobacco products into or within the commonwealth, file with the commissioner a return stating the quantity of tobacco products imported or acquired and such other information as the commissioner may deem necessary. (c1/2) Every licensee under section 7B of chapter 64C shall, on or before the twentieth day of each calendar month or on or before the twentieth day of the month following each calendar quarter, as the commissioner shall require, file with the commissioner a return for each place of business maintained, stating the quantity of cigars and smoking tobacco sold by such licensee in the commonwealth during the preceding calendar month or quarter, as the case may be, and such return shall contain or be accompanied by such further information as the commissioner shall require. If a licensee ceases to sell cigars and smoking tobacco within the commonwealth, he shall immediately file with the commissioner a return for the period ending with such cessation. (c3/4) Not later than the twentieth day of each calendar month or not later than the twentieth day of the month following each calendar quarter, as required by the commissioner, every licensee under section 7E of chapter 64C shall file with the commissioner a return for each place of business that the licensee maintains stating the quantity of electronic nicotine delivery systems sold by the licensee in the commonwealth during the preceding calendar month or quarter, as required by the commissioner. The return shall contain or be accompanied by any additional information that the commissioner may require. If a licensee ceases to sell electronic nicotine delivery systems, the licensee shall immediately file with the commissioner a return for the period in which the cessation took place. (d) All stampers, as defined in section one of chapter sixty-four C, shall file with the commissioner, monthly reports on or before the twentieth day of each calendar month showing the number of stamps on hand at the beginning of the month, the number purchased during the month, the number on hand at the end of the month, the number affixed or otherwise disposed of during the month, and such other information as the commissioner may deem necessary. (e) Every person licensed under chapter sixty-four E, other than a user, shall, on or before the twentieth day of each month file with the commissioner a return stating the number of gallons of special fuels sold or used by him in the commonwealth during the preceding calendar month, and such further information as the commissioner may deem necessary, including information relative to the cost and gross receipts from the purchase and sale of such fuel by type. (f) Every person licensed under chapter sixty-four F shall, on or before the thirtieth day of April, July, October and January of each year, file with the commissioner a return stating the number of gallons of fuel and special fuels used by him in the commonwealth during the preceding calendar quarter, and such further information as the commissioner may deem necessary. The commissioner may by regulation require returns under this subsection to be filed annually or on such other basis as he may determine and to have different filing periods for different groups of licensees. Every such return shall be filed on or before the last day of the month after the expiration of the period covered thereby. (g) Every operator, as defined in section one of chapter sixty-four G, subject to taxation under chapter sixty-four G, shall file a return with the commissioner for each calendar month. The commissioner may by regulation require returns under this section to be filed on a quarterly rather than a monthly basis or on such other basis as he may determine and to have different filing periods for different groups of operators. Every such return shall be filed within 30 days after the expiration of the period covered thereby. (g1/2) Notwithstanding subsection (g), the department of revenue shall promulgate regulations to minimize the administrative burden relative to filing returns under said subsection (g) on operators who offer their accommodations to the public for not less than 1 day in 5 separate months, or fewer, in the taxable year. The regulations may authorize an operator to file a return only for a month that the operator's accommodation is offered to the public. (h) Each vendor who has made any sale taxable under the provisions of chapter 64H, 64I or 64L shall file a return with the commissioner for each calendar month. The commissioner may by regulation require returns under this section to be filed on a quarterly rather than a monthly basis or on such other basis as it may determine and to have different filing periods for different groups of vendors. Every such return shall be filed within 30 days after the expiration of the period covered thereby. A materialman shall file a return with the commissioner each month. Each return shall be filed within 50 days after the expiration of the period covered by the return. The department may require each materialman electing to remit sales and use tax under this section to file an application with the department stating his intention to remit sales and use tax pursuant to this section. (i) Every purchaser who is required to pay a tax under chapter sixty-four I shall file a return with the commissioner for each calendar month. The commissioner may by regulation require returns under this section to be filed on a quarterly rather than a monthly basis or on such other basis as he may determine, and to have different filing periods for different groups of purchasers. Such returns shall show the total sales prices of all services or tangible personal property purchased at retail sale upon which the tax imposed has not been paid by purchasers to vendors, the amount of tax for which the purchaser is liable, and such other information as the commissioner deems necessary for the computation and collection of the tax. Every such return shall be filed within twenty days after the expiration of the period covered thereby unless the commissioner by regulation prescribes otherwise. The return filed by a purchaser shall include the sales prices of all services or tangible personal property purchased at taxable retail sale during the calendar month or other period for which the return is filed and upon which the tax imposed has not been reimbursed by the purchaser to a vendor. (j) Every person licensed under chapter sixty-four J shall, on or before the twentieth day of each month file with the commissioner a return stating the number of gallons of aircraft fuel sold or used by him in the commonwealth during the preceding calendar month, and such further information as the commissioner may deem necessary, including information relative to the cost and gross receipts from the purchase and sale of such fuel. (k) Every person subject to taxation under section twenty-one of chapter one hundred and thirty-eight shall file a return with the commissioner for each calendar month covering his sales of all alcoholic beverages or alcohol and all malt beverages imported into the commonwealth by him. Every such return shall be filed within twenty days after the expiration of the period covered thereby. In addition, each such person shall annually, on or before March 20, file an information return for the prior calendar year in such form and containing such information as the commissioner may, by rule or regulation, require including, but not limited to, the total monthly sales amount to each person to whom sales have been made, exclusive of deposits required by sections 321 to 327, inclusive, of chapter 94, and identifying information for such purchasers. If any person fails to file the information return required by this subsection, the person shall be liable for a penalty of $1,000 for each failure. The penalty shall be considered assessed upon the issuance by the commissioner of a notice to the taxpayer setting out the amount of the penalty and the period for which the information return was due. No other notice or demand for payment shall be required as a prerequisite to the imposition or collection of a penalty imposed under this subsection, and the penalty shall be collected in the same manner as a tax. A penalty imposed by the commissioner for a failure to file an information return under this subsection shall be subject to subsection (f) of section 33 relative to waiver of penalties. (l) Every direct broadcast satellite service provider subject to taxation under section 2 of chapter 64M shall, on or before the twentieth day of each calendar month, file a return with the commissioner stating the gross revenues derived by the direct broadcast satellite service provider during such month from the provision of direct broadcast satellite service and such other information as the commissioner may deem necessary.

M.G.L. c. 62C, § 16B Payment of taxes; penalty for underpayment; issuance of regulations

c. 62C, § 16B. Payment of taxes; penalty for underpayment; issuance of regulations Section 16B. Notwithstanding the due date of the return as set forth in section 16 or the payment date as set forth in section 32 or any other general or special law to the contrary, a payment of tax shall be made in advance of the filing of the return required under subsection (g) or (h) of said section 16 not later than the twenty-fifth day of the last month of the filing period; provided, however, that such payment shall include: (i) the tax collected for any taxable sale made during the days in the filing period occurring on or before the twenty-first day of the last month of the filing period; or (ii) not less than 80 per cent of the tax collected on the gross receipts from taxable sales during the immediately preceding filing period; provided further, that this section shall not apply to operators whose cumulative room occupancy excise liability in the immediately preceding calendar year with respect to returns filed under said subsection (g) of said section 16 is not more than $150,000; provided further, that this section shall not apply to vendors whose cumulative sales tax liability in the immediately preceding calendar year with respect to returns filed under said subsection (h) of said section 16 is not more than $150,000; provided further, that this section shall not apply to a materialman who files a return with the commissioner pursuant to said subsection (h) of said section 16; and provided further, that tax collected for any taxable sale made during the remaining days of the filing period for which tax was not previously remitted shall be remitted at the time the return for that filing period is required to be filed. A payment made under this section shall be credited against the actual tax liability due on the return required for the filing period. A penalty of 5 per cent of the amount of an underpayment shall be imposed unless such underpayment is due to a reasonable cause; provided, however, that such penalty shall not be imposed if the payment made on or before the date prescribed in this section is not less than 70 per cent of the total tax collected during the filing period. For the purposes of this paragraph, the term ''underpayment'' shall mean the excess of the amount of the payment required under this section over the amount, if any, paid on or before the date prescribed therefor. The department of revenue shall promulgate regulations and issue guidance necessary to implement this section.

M.G.L. c. 62C, § 17 Return by executor

c. 62C, § 17. Return by executor Section 17. (a) An executor, as defined in chapter sixty-five C, of the estate of a resident or nonresident decedent, shall, within nine months after the date of the decedent's death, make a return with respect to the tax imposed by chapter sixty-five C if, in the case of a decedent dying on or before December thirty-first, nineteen hundred and ninety-six, the Massachusetts gross estate exceeds the amount of the exemption afforded by subsection (a) of section three of chapter sixty-five C, or in the case of a decedent dying thereafter, the estate is liable for any amount of tax under chapter sixty-five C. For purposes of this section the Massachusetts gross estate of a nonresident decedent shall be computed as if the decedent had been a resident. Such return shall be in such form as may be prescribed by the commissioner. The return shall be accompanied by a filing fee as determined annually by the commissioner of administration under the provision of section three B of chapter seven. (b) If the executor is unable to make a complete return as to any part of the federal gross estate of the decedent, he shall include in his return a description of such part and the name of every person holding a legal or beneficial interest therein. Upon notice from the commissioner such person shall in like manner make a return as to such part of the federal gross estate.

M.G.L. c. 62C, § 18 Beano, raffle, or bazaar; organizations required to file returns

c. 62C, § 18. Beano, raffle, or bazaar; organizations required to file returns Section 18. Every organization operating or conducting a game under section thirty-eight of chapter ten shall within ten days after such game is held file an information return with the commissioner containing the names and addresses of all persons receiving prizes over five hundred dollars in such game and the amount of every such prize.

M.G.L. c. 62C, § 19 Extension of time for filing return

c. 62C, § 19. Extension of time for filing return Section 19. For good cause the commissioner may grant a reasonable extension of time for filing any return required by this chapter, provided that the taxpayer, on or before the date prescribed for payment of the tax, files a tentative return, in such form as the commissioner may require, and pays therewith the amount of tax reasonably estimated to be due. An extension of six months for filing any return required by section eleven or twelve shall be allowed any corporation if, in such manner and at such time as the commissioner may prescribe, such corporation files a request, in such form as the commissioner may require, and pays, on or before the date prescribed for payment of the tax, the amount of tax reasonably estimated to be due under this chapter; but this extension may be terminated at any time by the commissioner by mailing to the corporation notice of such determination at least ten days prior to the date for termination fixed in such notice. Failure to pay fifty per cent of the tax due with respect to returns required by sections eleven or twelve of this chapter or eighty per cent of the tax due with respect to other returns required by this chapter on or before the date the tax imposed is required to be paid shall void any extension of time and the return shall be subject to penalty as a late return.

M.G.L. c. 62C, § 20 Inspection of returns, books, accounts and other records in possession of commissioner

c. 62C, § 20. Inspection of returns, books, accounts and other records in possession of commissioner Section 20. Returns shall be open to the inspection of the commissioner, and his deputies, assistants and clerks when acting under his authority. The books, accounts and other records in the hands of the commissioner, except returns, shall be open to the inspection of the state auditor, and his deputies, assistants and clerks when acting under his authority for the purpose of auditing the accounts of the commissioner.

M.G.L. c. 62C, § 21 Disclosure of tax information

c. 62C, § 21. Disclosure of tax information Section 21. (a) The disclosure by the commissioner, or by any deputy, assistant, clerk or assessor, or other employee of the commonwealth or of any city or town therein, to any person but the taxpayer or his representative, of any information contained in or set forth by any return or document filed with the commissioner, except in proceedings or other activities to determine or collect the tax or for the purpose of criminal prosecution under this chapter, chapters sixty A, sixty-two to sixty-five C, inclusive, section ten of chapter one hundred and twenty-one A and section twenty-one of chapter one hundred and thirty-eight, is prohibited. (b) Nothing herein shall be construed to prevent (1) the disclosure of information contained in inventories filed under section twenty-two of chapter sixty-five. (2) the inspection of returns or documents filed pursuant to section seventeen of this chapter or section twenty-two of chapter sixty-five by persons, or their representatives, likely to become charged with the payment of taxes in connection therewith; (3) the disclosure of information contained in returns filed pursuant to subsections (a) and (k) of section sixteen and subsection (a) of section eighteen. (4) the publication of statistics so classified as to prevent the identification of particular returns or reports and the items thereof; (5) upon written request, the inspection by, or provision of copies to, the director of the bureau of special investigations of tax returns or other documents filed with the commissioner of revenue, including information which appears in child support enforcement files maintained by the IV–D agency as set forth in chapter 119A concerning dates and amounts of income received, employer, last known address and other information relevant to the investigation of fraud, concerning any person where there is reason to believe that such person has committed fraud under any assistance program administered by the department of transitional assistance, the executive office of health and human services, in its capacity as the single state agency for the purposes of Title XIX of the Social Security Act or any program administered by the department of children and families; (6) the disclosure of information to duly authorized tax officials of the United States and of territories, states and political subdivisions thereof or to any duly authorized agent or agency of such territory, state or political subdivision thereof pursuant to the provisions of sections twenty-two and twenty-three of this chapter; (7) the disclosure of information as to whether a vendor, as defined in chapters sixty-four H or sixty-four I, is registered pursuant to section sixty-seven of this chapter; or (8) the disclosure as to whether any designated person has filed a return under this chapter with respect to any designated tax for the current or any prior year or tax period. (9) the disclosure to the commissioner of transitional assistance or the commissioner of medical assistance, upon his written request, of the fact that a specific bank or other entity paying interest income, doing business in the commonwealth, has filed for any year a report under section 8 with respect to interest paid by it to a designated recipient of public assistance under any program administered by the department of transitional assistance or the division of medical assistance and of the amount of the interest so reported, together with the identification of the account with respect to which the interest was paid. (10) the disclosure to the deputy director of the division of employment and training, the commissioner of public welfare, or the secretary of veterans' services of information necessary to ascertain or confirm the existence of fraud, abuse or improper payments to an applicant for or recipient of veterans' benefits. (11) the disclosure by the commissioner of a list of all taxpayers, including but not limited to individuals, trusts, partnerships, corporations, one hundred and twenty-one A corporations and other taxable entities, that are delinquent in the payment of their tax liabilities in an amount greater than twenty-five thousand dollars for a period of six months from the time the taxes were assessed, or the disclosure to the commissioner of public welfare or his designee of information as provided in section three A of chapter one hundred and eighteen. Said list shall contain the names, address, types of taxes, month and year assessed and amounts outstanding of said delinquent taxpayers. At least ninety days prior to said disclosure of the name of any such delinquent taxpayer, the commissioner shall mail a written notice to each such delinquent taxpayer by certified mail addressed to such delinquent taxpayer at his last or usual place of business or abode detailing the amount and nature of this delinquency and the intended disclosure of this delinquency. If the delinquent tax has not been paid sixty days after said notice, the commissioner shall disclose such tax in said list of delinquent taxpayers. Unpaid taxes shall not be deemed to be delinquent and subject to disclosure if a written agreement for payment exists without default between the taxpayer and the commissioner; or the commissioner certifies that the tax liability is under appeal or is based wholly upon a question of law that is currently under appeal before a court or the appellate tax board in another case involving the same question. Any unauthorized disclosure made by the commissioner in good faith effort to comply with this paragraph shall not be considered a violation of this section. (12) the disclosure to the claimant agency of information necessary to effect a set-off for debt collection pursuant to chapter sixty-two D. (13) the disclosure of information or provision of copies of returns or documents to the IV–D agency, as set forth in chapter one hundred and nineteen A, for the purpose of locating or identifying obligors, as defined in said chapter one hundred and nineteen A, evaluating their ability to pay support and ascertaining their sources of income and types of assets pursuant to subsection (b) of section fourteen of chapter one hundred and nineteen A. (14) the disclosure to the deputy director of the division of employment and training of information necessary to locate delinquent or unregistered employing units and individuals who have been overpaid unemployment benefits by the division of employment and training. (15) the disclosure to the commissioner of correction upon said Commissioner's written request, of the name, social security number, current address, or the name, identification number, or address of the employer of, an escaped prisoner for whom an outstanding warrant for arrest has been issued. (16) Upon written request, the disclosure of information to the secretary of housing and livable communities for the purpose of ascertaining all sources of income and household income levels for applicants and tenants receiving the benefits of the state and federal housing subsidy programs administered by said secretary. (17) the disclosure of return information in any judicial or administrative action, proceeding or activity relating to the conduct, job performance or personnel rights of any employee or former employee of the department of revenue, solely for use in, and only to the extent necessary for, the action, proceeding or activity, or in preparation for the action, proceeding or activity. Return information shall, upon written request, also be available to an employee or former employee of said department, or his duly authorized representative, who is or may be a party or a participant in such action, proceeding or activity to the extent that the requested information is or may be relevant thereto, solely for use in, and only to the extent necessary for, the action, proceeding or activity, or in preparation for the action, proceeding or activity. Except as otherwise provided in this subsection, return information disclosed pursuant to this paragraph shall be kept confidential. (18) the disclosure of the name and address of a person filing any return or document with the commissioner, provided that such information shall not be disclosed if the IV–D agency has been provided with reasonable evidence of a risk of harm pursuant to section 5A of chapter 119A. (19) the disclosure of such information as is reasonable and appropriate to the implementation and enforcement of sections 33A, 34 and 35 of chapter 64C. (20) the disclosure to the attorney general of such information as the attorney general may require for use in enforcing clause (b) of section 2 of chapter 94E. (21) the disclosure to the commissioner of probation of information as the commissioner may require for use in determining whether a person who has requested the appointment or assignment of counsel pursuant to chapter 211D is eligible for the services. (22) the disclosure of any non-financial information contained on a return filed pursuant to section 10 to the division of unemployment assistance, the division of insurance and the executive office of health and human services under an interagency agreement for the enforcement or administration of chapter 118E. (23) the disclosure of information contained in a return filed pursuant to this chapter to the executive office of health and human services to allow the department to determine if a taxpayer who claimed an exemption under section 3 of chapter 111 received health services that were reimbursed from the Health Safety Net Trust Fund under section 69 of chapter 118E or to the executive office of health and human services, in its capacity as the single state agency for the purposes of Title XIX of the Social Security Act to allow the department to verify MassHealth coverage. (24) the disclosure of information necessary to comply with the reporting requirements of section 88, (25) the disclosure of information necessary for administration of the local option tax imposed pursuant to section 3A of chapter 64G and, chapter 64L or section 3 of chapter 64N. (26) the disclosure to members of the council on the underground economy established by section 25 of chapter 23 of information relating to the classification by a business entity of individuals providing services to such business entity as employees or independent contractors, including but not limited to information relating to the business entity's withholding or failure to withhold personal income tax pursuant to chapter 62B with respect to payments to particular individuals and the amount of any such payments or withholding. (27) the disclosure of tax return information for individuals or households to an agency of the commonwealth, if the agency certifies that the information is relevant to determining the eligibility of an individual or household for benefits, which are provided by the agency. (28) the disclosure of information to members of the multi-agency illegal tobacco task force established in section 40 of chapter 64C or to federal law enforcement for the purpose of investigating or prosecuting criminal offenses relative to contraband tobacco distribution or conducting other enforcement actions relative to contraband tobacco distribution. (29) the disclosure of information necessary for administration of the community impact fee imposed pursuant to section 3D of chapter 64G. (30) the disclosure of information to the executive office of economic development necessary for the establishment and maintenance of a registry pursuant to section 68 of chapter 23A. (31) the disclosure to the department of family and medical leave established in section 8 of chapter 175M of return information and wage reporting information that is: (i) received by the commissioner pursuant to this chapter or chapter 62E; and (ii) necessary for the administration of the family and medical leave program established pursuant to said chapter 175M. (c) Any violation of this section shall be punished by a fine of not more than one thousand dollars, or by imprisonment for not more than six months, or both, and by disqualification from holding office in the commonwealth for such period, not exceeding three years, as the court determines. (d) The confidentiality provisions and the prohibition as to disclosure contained in this section shall apply to standards used or to be used for the selection of tax returns for examination, data used or to be used for determining such standards and such other materials as reflect audit or compliance selection criteria, audit issue criteria or audit, compliance and collection techniques, if the commissioner determines that disclosure will seriously impair assessment, collection or enforcement under the tax laws.

M.G.L. c. 62C, § 21B Unauthorized willful inspection of information contained in return or document filed with the commission; penalties

c. 62C, § 21B. Unauthorized willful inspection of information contained in return or document filed with the commission; penalties Section 21B. The unauthorized willful inspection of information contained in or set forth in a return or document filed with the commissioner, or of information which can identify a particular taxpayer that is received by the commissioner for the purposes of tax administration from the Internal Revenue Service or other taxing authority or derived from any other source, by (1) an employee of the commonwealth or a city or town therein, including the commissioner or a deputy, assistant, clerk, or assessor; (2) an employee of another state; (3) a person under contract with the commonwealth or an officer, director, or employee thereof; or (4) a person obtaining unauthorized access to a return, document, or information while the return, document, or information, including a return, document, or information stored in computer systems or computer files, is in the custody of the commissioner or of any other person or entity described in clauses (1) to (3), inclusive, is prohibited. A violation of this subsection shall be punished by a fine of not more than $1,000 per return, document, or taxpayer, as the court determines, with respect to which information was inspected, or by imprisonment for not more than 1 year, or both, and by disqualification from holding office in the commonwealth for a period, not exceeding 3 years, as the court determines. The determination by the commissioner that an employee of the department of revenue, or the determination by another agency head that an employee of such other agency has, in contravention of this subsection, willfully inspected information where the inspection was unauthorized and not protected by the good faith provision of this subsection, shall be grounds for dismissal of the employee. A violation, as determined by the commissioner, of this subsection by any officer, director or employee of any person under contract with the commonwealth shall be grounds for prohibiting the officer, director or employee from working on the contract. A violation, as determined by the commissioner, of this subsection by a person under contract with the commonwealth, or an officer, director, or employee thereof, shall also be cause for terminating a current contract between the commonwealth and for prohibiting the contractor from entering into a future contract with the commonwealth.

M.G.L. c. 62C, § 22 Inspection or use of returns or other information by governmental agencies

c. 62C, § 22. Inspection or use of returns or other information by governmental agencies Section 22. The commissioner may permit the Secretary of the Treasury of the United States or his delegate, or the proper tax officer of any territory, state or political subdivision thereof, or any agent or agency designated under the laws of any territory, state or political subdivision thereof to be the representative of such territory, state or political subdivision to inspect any return required to be filed with the commissioner, or may furnish to such officer or his authorized representative an abstract of any such return or supply him with information concerning any item contained in any such return, or disclosed by any investigation of tax liability due under any such return, whether or not filed, but such permission shall be granted or such information furnished to such officer or his representative only if the laws of the United States or of such other territory, state or political subdivision thereof, as the case may be, generally restrict the disclosure of such information except for the purpose of administering tax laws, grant substantially similar privileges to the commissioner and such information is to be used exclusively for the purpose of administering the tax laws of the United States or of such territory, state or political subdivision thereof; and provided further, the commissioner may furnish to the Secretary of the Treasury of the United States or his delegate, or to the proper tax officer of any territory, state or political subdivision or to any agent or agency designated under the laws of any territory, state or political subdivision thereof copies of tax returns filed with him and other tax information, as he may consider proper, for use in court actions or proceedings involving exclusively the administration of the tax laws of the United States, of any territory, or state or any political subdivision thereof, whether civil or criminal, if a written request therefor has been made to the commissioner by the Secretary of the Treasury of the United States or his delegate or by the proper tax officer of any territory, state or political subdivision thereof or of any agent or agency designated under the laws of any territory, state or political subdivision thereof, provided that the laws of the United States or of any territory, state or political subdivision grant substantially similar powers to the Secretary of the Treasury of the United States or his delegate or to the proper tax officer of any territory, state or political subdivision thereof or to any agent or agency designated under the laws of any territory, state or political subdivision thereof. If the commissioner has so authorized use of returns or other information in such actions or proceedings, the commissioner or any employee delegated by him may testify in such actions or proceedings in respect to such returns or other information.

M.G.L. c. 62C, § 23 Participation of commissioner with governmental officers or agencies to determine tax liability; certificate by commissioner

c. 62C, § 23. Participation of commissioner with governmental officers or agencies to determine tax liability; certificate by commissioner Section 23. The commissioner may participate jointly with the Secretary of the Treasury of the United States or his delegate, or with the proper tax officer of any territory, state or political subdivision thereof or with any agent or agency designated under the laws of any territory, state or political subdivision thereof in the examination, verification, assessment, audit or other activity to determine the proper tax liability due on any tax return required to be filed with him. The commissioner may participate jointly with said tax officers in the examination, verification, assessment, audit or other activity to determine the proper tax liability due on any tax return required to be filed with the Internal Revenue Service or with any territory, state or political subdivision thereof to the extent that the tax of the federal government or of the territory, state or political subdivision thereof is similar to a tax imposed by the commonwealth. A certificate by the commissioner that the tax of the federal government or of such other territory, state or political subdivision thereof is similar to a tax imposed by the commonwealth shall be prima facie evidence of such similarity.

M.G.L. c. 62C, § 24 Verification of returns; inspection of stampers

c. 62C, § 24. Verification of returns; inspection of stampers Section 24. For the purpose of verifying any return filed under this chapter, the commissioner or his duly authorized representative may at any time within three years after the date prescribed for filing the return, or the date filed, whichever is later, examine the books, papers, records and other data of the taxpayer which shall be open to such person for verification. The taxpayer shall provide to the commissioner all accounting records and information in a searchable electronic format, as requested by the commissioner, to the extent that the taxpayer maintains such records in electronic format. Stocks of unused stamps in the possession of stampers, as defined in section one of chapter sixty-four C, shall be open to inspection by the commissioner or his duly authorized representative at all reasonable times. If the books, papers, records, and other data of the taxpayer are so voluminous as to make a complete audit thereof impractical and inefficient, the commissioner may use such statistical sample methods in conducting such audit as may be agreed to by the parties and project the audit findings derived therefrom over the entire audit period to determine the proper tax. If, after a good faith effort, the parties cannot reach such an agreement, the commissioner may utilize such statistical sample methods which he deems appropriate and which comply with the provisions of the Internal Revenue Code.

M.G.L. c. 62C, § 24A Income reporting by member or indirect owner of pass-through entity; unified audit procedure; statute of limitations for tax assessment; opting out of unified audit procedure

c. 62C, § 24A. Income reporting by member or indirect owner of pass-through entity; unified audit procedure; statute of limitations for tax assessment; opting out of unified audit procedure Section 24A. (a) Members or indirect owners of a pass-through entity shall report items of income, expense or credit derived from the pass-through entity in a manner consistent with the reporting of the pass-through entity, except to the extent that a taxpayer member or indirect owner makes a declaration of inconsistency with its original return. (b) The commissioner shall establish by regulation unified audit procedures. The commissioner may audit, in a unified proceeding, a pass-through entity 1 or more of whose members or indirect owners are subject to tax under chapters 62 or 63; provided, however, that nothing in this section shall limit the ability of the commissioner to audit or assess individual members or indirect owners with respect to items derived from a pass-through entity or the ability of the commissioner to inspect books and records of a pass-through entity outside of a unified audit procedure. The determination of pass-through entity items shall be binding on all members and indirect owners participating in the unified audit procedure. For purposes of this section, ''members and indirect owners participating in the unified audit procedure'' shall mean all members and indirect owners of a pass-through entity subject to audit in a unified proceeding pursuant to this section, other than members and indirect owners that elect not to participate in the unified audit proceding under subsection (e). The regulations shall establish the types of pass-through entities subject to unified audit proceedings which may include, but shall not be limited to, partnerships and S corporations. The regulations shall also require the pass-through entity to designate a tax matters partner who may represent all the members and indirect owners participating in the unified proceeding. The authority of the tax matters partner in a unified audit procedure shall include, but not be limited to, the following on behalf of members and indirect owners participating in the unified audit procedure: (i) receiving tax notices; (ii) representing members and indirect owners during the unified audit proceding and in administrative appeals with the commissioner; (iii) entering into settlement agreements with the commissioner under section 37C with regard to pass-through entity items; and (iv) filing petitions with the appellate tax board and pursuing any subsequent judicial appeal with respect to a determination of pass-through entity items by the commissioner. So far as practicable, the commissioner's regulations shall be modeled on federal rules. (c)(1) A unified audit procedure shall begin when the commissioner so notifies the tax matters partner. Except as otherwise provided, the commissioner shall begin a unified audit procedure and issue a notice of determination of pass-through entity items within 3 years after the later of the date on which the entity's return for the taxable year was either filed or required to be filed, taking extensions into account. The 3-year period shall be extended to the extent the statute of limitations for audit or assessment is extended under subsection (d). It shall be the responsibility of the tax matters partner to provide notice to members and indirect owners of the pendency of the unified audit procedure. Such notice shall be provided in the manner and to the extent required in the partnership or other agreement governing the pass-through entity and its members and indirect owners. The failure of the tax matters partner to provide notice shall not affect the validity of the unified audit procedure with respect to all members and indirect owners participating in the unified audit procedure. The determination of pass-through entity items after the commencement of a unified audit procedure shall be made exclusively under the unified audit process which, except as specified in this section, shall supersede the assessment and abatement process otherwise applicable under this chapter to members and indirect owners with respect to pass-through entity items. If, in the course of a unified audit procedure, it appears to the commissioner that the statement of pass-through entity items on the entity's return will result in a tax liability of members and indirect owners that is different from the correct amount, the commissioner shall give notice of proposed adjustments to the tax matters partner and other members specified in regulations issued by the commissioner. Within 30 days after the notice, the tax matters partner or other members specified in regulations issued by the commissioner may request a conference with regard to proposed adjustments of pass-through entity items. After unified audit administrative proceedings are concluded, the commissioner shall issue a notice of determination of pass-through entity items to the tax matters partner. The tax matters partner or other members specified in regulations issued by the commissioner may petition the appellate tax board for review of the determination of pass-through entity items within 60 days after the determination has been sent to the tax matters partner. The appellate tax board shall have jurisdiction to decide petitions under this section and its decision shall be a final decision of the board for the purpose of the right to a judicial appeal. (2) If no petition is filed with the appellate tax board as provided in this subsection, the determination of pass-through entity items shall become a final determination the day after the last date on which the pass-through entity may appeal the determination of pass-through entity items. If a timely petition is filed with the appellate tax board, the determination of pass-through entity items shall become a final determination on the later of: (i) the date of the appellate tax board decision or subsequent final judicial decision; or (ii) the day after the date on which the right to any further appeal expires. After a final determination of pass-through entity items is made, the commissioner shall assess or abate members and indirect owners in accordance with the final determination. The commissioner shall not be required to issue a notice of intent to assess prior to assessment. (d)(1) Except as provided in this subsection, the statute of limitations for the assessment of tax of a member or indirect owner with respect to a pass-through entity item or an item affected by a pass-through entity item for a taxable year to which pass-through entity items relate shall not expire before the later of: (i) the assessment period, including subsections (d) or (h) of section 26, applicable to the taxpayer member or indirect owner for tax periods to which pass-through entity items relate; or (ii) 1 year after the date the determination of pass-through entity items becomes a final determination under paragraph (2) of subsection (c). (2) Subsections (d) and (h) of section 26 shall apply to returns filed by a pass-through entity. In such cases, the commissioner may conduct a unified audit of pass-through entity items and reach final determination of those items during such extended time periods as are consistent with those described in said subsections (d) and (h) of said section 26. (3) The tax matters partner or other person authorized by a pass-through entity may enter into a written agreement with the commissioner following the procedures under section 27 to extend the statute of limitations for the conduct of a unified audit procedure and determination of pass-through entity items. (4) A member or indirect owner participating in the unified audit procedure may, within 6 months after an assessment or abatement made after a final determination of pass-through entity items in accordance with paragraph (2) of subsection (d), challenge the computation of tax as it applies to that taxpayer by filing an application for abatement under section 37; provided, however, that the application shall be limited to computational matters on the member's or indirect owner's return attributable to pass-through entity items and shall not contest the underlying determination of the pass-through entity items. (e) Members or indirect owners of a pass-through entity may elect not to participate in a unified audit procedure by providing notice to the commissioner in such time and manner as the commissioner may require. Members or indirect owners who elect not to participate in the unified audit procedure shall follow the procedures under section 26 for pre-assessment conferences and procedures under section 37 for abatement requests and appeals with respect to determining and disputing tax related to pass-through entity items; provided, however, that the statute of limitations for assessment of tax to members or indirect owners who have elected not to participate in the unified audit procedure with respect to pass-through entity items and affected items derived from a pass-through entity that is subject to a unified audit procedure shall not expire in any event sooner than the end of 1 year after the date the determination of pass-through entity items becomes a final determination under paragraph (2) of subsection (c).

M.G.L. c. 62C, § 25 Records to be kept by taxpayers subject to chapters 64A and 64C, 64E to 64J, 64M and 138; inspection

c. 62C, § 25. Records to be kept by taxpayers subject to chapters 64A and 64C, 64E to 64J, 64M and 138; inspection Section 25. A distributor, unclassified importer, unclassified exporter or purchaser referred to in section 1 of chapter 64A, a stamper appointed under section 30 of chapter 64C, a user-seller or supplier of special fuels, as defined in section 1 of chapter 64E, a motor carrier required to be licensed under chapter 64F, an operator required to register under chapter 64G, a vendor required to register under chapter 64H or 64I, a user-seller or supplier of aircraft fuel, as defined in section 1 of chapter 64J, a direct broadcast satellite service provider as defined in section 1 of chapter 64M and a licensee referred to in section 21 of chapter 138 shall keep and preserve suitable records of taxable charges and such other books, papers, records and data as the commissioner may require to determine the amount of the tax due under the those respective chapters. Such records shall be open to inspection and examination at any reasonable time by the commissioner or his duly authorized representative and such records shall, unless the commissioner consents in writing to an earlier destruction be preserved for three years after the date the return was filed or the date it was due, whichever occurs later, and for such further period as may be agreed upon for the assessment of any additional tax.

M.G.L. c. 62C, § 26 Assessment of taxes

c. 62C, § 26. Assessment of taxes Section 26. (a) Taxes shall be deemed to be assessed at the amount shown as the tax due upon any return filed under the provisions of this chapter and on any amendment, correction or supplement thereof, or at the amount properly due, whichever is less, and at the time when the return is filed or required to be filed, whichever occurs later. (b)(1) If the commissioner determines, from the verification of a return or otherwise, that the full amount of any tax has not been assessed or is not considered to be assessed, the commissioner may, at any time within 3 years after the date the return was filed or the date it was required to be filed, whichever occurs later, assess the same with interest as provided in section 32 to the date when the deficiency assessment is required to be paid, first giving notice of the commissioner's intention to the person to be assessed; provided, however, that said 3-year period for making an assessment shall be suspended during the period of time that the taxpayer has a bankruptcy case pending under the appropriate chapters of Title 11 of the United States Code. The taxpayer or the taxpayer's representative may confer with the commissioner or the commissioner's duly authorized representative as to the proposed assessment within 30 days after the date of such notification. After the expiration of 30 days from the date of such notification, the commissioner shall assess the amount of tax remaining due to the commonwealth, or any portion thereof, which the commissioner believes has not been assessed. (2) In the case of 1 or more corporations that participated or were required to participate in a filing through the means of a combined report under section 32B of chapter 63, the commissioner may effect the issuance of a notice of the intention to assess or a notice of assessment to each corporation that participated or was required to participate in the combined report with respect to any tax liability due from such corporation under said chapter 63, whether relating to the income measure or non-income measure of the corporate excise or minimum excise tax liability, by issuing a single notice to the principal reporting corporation on its own behalf and as the agent for each corporation that is being assessed. The single notice shall state the net cumulative liability of all such assessed corporations. In such cases, the commissioner shall provide detail as to the assessment that is being issued to each corporation included in the cumulative assessment in the form of work papers made available to the principal reporting corporation in connection with the notice of the cumulative assessment that is directed to such principal reporting corporation. Nothing in this paragraph shall preclude the commissioner from separately and directly assessing any individual corporation subject to tax under said chapter 63, rather than assessing such corporation through the means of a cumulative assessment as referenced in this paragraph, even when such corporation participated in or was required to participate in the filing of a combined report. (3) If the commissioner audits or verifies the returns of the same tax for 2 or more tax periods and determines, as a result thereof, that the amounts assessed result in overpayments for some tax periods and underpayments for others, the commissioner shall offset the overpayments against the underpayments and refund any net overpayment as required by section 36. An application for abatement under section 37 shall not be required for overpayments resulting from assessments made pursuant to this section. (4) Failure to receive the notice provided for by this section shall not affect the validity of the tax. (c) In the case of an arithmetic or clerical error or other obvious error, including any exclusion of taxable unemployment compensation or Massachusetts state lottery winnings, apparent either upon the face of the return or from a comparison of the return with any records pertaining to the taxpayer's liability or payment thereof, which are maintained by the commissioner or furnished to the commissioner from any third party source, the commissioner may assess a deficiency attributable to such error without giving notice to the person being assessed. The commissioner may make such corrections to errors found upon a taxpayer's return and to the amount shown as the tax assessed thereon, including an increase in tax due or a reduction in a refund claimed, as will cause the return to conform with any records pertaining to the taxpayer's liability or payment thereof, which are maintained by the commissioner or furnished to the commissioner by any third-party. Concurrently with the making of such corrections, the commissioner shall notify the taxpayer in writing of the changes made to the return. If within 30 days after the date of such notice, or within any extended period permitted by the commissioner, the taxpayer fails to challenge the corrections, the return as corrected shall constitute the taxpayer's amended self-assessed return and the commissioner shall not be required to assess the corrected tax, nor to provide the taxpayer with a notice of intention to assess, nor otherwise to send any notice of the corrected tax liability to the taxpayer. Any taxpayer that disagrees with corrections made by the commissioner's corrections under this subsection shall challenge them in writing within 30 days after the date of the commissioner's notice, or within any extended period permitted by the commissioner. Once so challenged, the commissioner shall be required to assess any additional tax not shown on the original return in accordance with subsection (b) and shall comply with subsection (e) of section 32 if the commissioner's initial corrections to the return resulted in the reduction or elimination of a refund claimed on the return by the taxpayer. (d) In the case of a false or fraudulent return filed with intent to evade a tax or of a failure to file a return, the commissioner may make an assessment at any time, without giving notice of his intention to assess, determining the tax due according to his best information and belief. (e) If a nonresident fails to file a return of income derived by him from sources within the commonwealth, as required by section six, the tax imposed by section five A of chapter sixty-two shall be assessed on the basis of his gross income from such sources. The commissioner shall determine such income according to his best information and belief and may assess the tax, with penalties and interest, and without allowance for deductions or exemptions. (f) If an executor, as defined in chapter sixty-five C, omits from the gross estate items includable in such gross estate as exceed in amount twenty-five per cent of the gross estate stated in the return filed pursuant to section seventeen, the estate tax may be assessed at any time within six years after the return was filed. In determining the items omitted from the gross estate, there shall not be taken into account any item which is omitted from the gross estate in the return if such item is disclosed in the return, or in a statement attached to the return, in a manner adequate to apprise the commissioner of the nature and amount of such item. (g) The provisions of this section shall not apply to assessments of taxes imposed by chapters sixty-five or sixty-five A. (h) Except as otherwise provided in subsection (d), in the case of a return filed pursuant to section six or eleven, if the taxpayer omits from gross income an amount properly includible therein which is in excess of twenty-five per cent of the amount of gross income stated in the return, the tax may be assessed at any time within six years after the return was filed. For purposes of this subsection, in the case of a trade or business, the term ''gross income'' shall mean the total of the amounts received or accrued from the sale of goods or services, if such amounts are required to be shown on the return, prior to diminution by the cost of such sales or services. In determining the amount omitted from gross income, there shall not be taken into account any amount which is omitted from gross income stated in the return if such amount is disclosed on the return, or in a statement attached to the return, in a manner adequate to apprise the commissioner of the nature and amount of such item. (i) Except as otherwise provided in subsection (d), in the case of a return filed pursuant to the provisions of sections twelve, fourteen or sixteen, if the return omits an amount of such tax properly includible thereon which exceeds twenty-five per cent of the amount of such tax reported thereon, the tax may be assessed at any time within six years after the return is filed. In determining the amount of tax omitted on a return, there shall not be taken into account any amount of tax which is omitted from the return if the transaction giving rise to such tax is disclosed in the return, or in a statement attached to the return, in a manner adequate to apprise the commissioner of the existence and nature of such item. (j)(1) The commissioner shall not make any assessment under this chapter if that assessment is based on a change in policy unless such change in policy first is announced to taxpayers pursuant to the promulgation of a validly adopted regulation or the issuance of a technical information release, directive, administrative procedure or other similar public statement of equivalent formality that explains the change in policy. Further, no assessment based on a change in policy shall be made with respect to taxable years or periods that began prior to the issuance of a public written statement as provided in this paragraph. (2) For purposes of this section, an assessment is based on a change in policy if it is contrary to a rule of law or the interpretation of a rule of law set forth in a regulation, technical information release, directive, administrative procedure, letter ruling, tax form, including instructions, or any other written guidance issued by the commissioner; provided, however, that the facts and circumstances on which the letter ruling was based are not materially different. A change in policy shall not occur when the commissioner merely applies a previously announced or established rule of law to the facts and circumstances of a particular taxpayer or transaction.

M.G.L. c. 62C, § 27 Extension of time for assessment

c. 62C, § 27. Extension of time for assessment Section 27. If, before the expiration of the time prescribed under section twenty-six for the assessment of any tax, the commissioner and the taxpayer consent in writing to extend the time for the assessment of the tax, the commissioner or his duly authorized representative may examine the books, papers, records, and other data of the taxpayer, may give any notice required by section twenty-six and may assess the tax at any time prior to the expiration of the extended time. The period so extended by the commissioner and the taxpayer may be further extended by subsequent agreements in writing made before the expiration of the time last extended. If, as a result of such examination, the commissioner determines that the taxpayer has overpaid any tax, he shall reduce the assessment accordingly and refund the overpayment in accordance with the provisions of section thirty-six. In the case of 1 or more corporations that participated in or was required to participate in a filing through the means of a combined report under section 32B of chapter 63, the commissioner and the principal reporting corporation may consent in writing to extending the time for assessment of any component of the corporate excise reported or required to be reported under said chapter 63 by any such corporation, whether relating to the income measure, non-income measure or a minimum excise tax liability under the corporate excise. This consent shall be effective for: (i) any corporation that filed through the means of the combined report, including any corporation that was improperly included in the combined group as determined pursuant to said section 32B of said chapter 63 or that subsequently ceased to be a member of such group; and (ii) any corporation that was improperly excluded from the combined group and that improperly filed a separate return to report its corporate excise under said chapter 63. The period so extended by the commissioner and the principal reporting corporation may be further extended by subsequent agreements in writing made before the expiration of the time as previously extended. The commissioner or a duly authorized representative may examine the books, papers, records and other data of any corporation that participated in or was required to participate in the filing of the combined report. Nothing in this section shall preclude the commissioner from separately executing consents to extend the time for assessment with an individual corporation subject to tax under said chapter 63 for a tax due from such corporation under this chapter or said chapter 63, even where the corporation participated in or was required to participate in the filing of a combined report.

M.G.L. c. 62C, § 28 Failure to file or filing of incorrect return; determination and assessment of tax

c. 62C, § 28. Failure to file or filing of incorrect return; determination and assessment of tax Section 28. If a person who has been notified by the commissioner that he has failed to file a return or has filed an incorrect or insufficient return refuses or neglects within thirty days after the date of such notification to file a proper return, or if a person has filed a false or fraudulent return or has filed a return with a willful attempt in any manner to defeat or evade the tax, the commissioner may determine the tax due, according to his best information and belief, and may assess the same at not more than double the amount so determined, which additional tax shall be in addition to the other penalties provided by this chapter.

M.G.L. c. 62C, § 29 Collection of tax jeopardized by delay; immediate assessment

c. 62C, § 29. Collection of tax jeopardized by delay; immediate assessment Section 29. If the commissioner believes that the collection of any tax will be jeopardized by delay, he shall, whether or not the time otherwise prescribed by law for making return and paying such tax has expired, immediately assess such tax together with all interest and penalties, as provided by law. Such tax, penalties and interest shall thereupon become immediately due and payable, and immediate notice and demand shall be made by the commissioner for the payment thereof. Upon failure or refusal to pay such tax, penalty and interest, the commissioner shall proceed forthwith to the collection thereof.

M.G.L. c. 62C, § 30 Federal income tax changes; assessment; abatement; penalty

c. 62C, § 30. Federal income tax changes; assessment; abatement; penalty Section 30. If the federal government finally determines that there is a difference from the amount previously reported in (1) the taxable income of a person subject to taxation under chapter 62, or (2) a federal credit to which such person may be entitled, but only if the calculation of such credit has an effect on the computation of the tax imposed under chapter 62, the final determination shall be reported, accompanied by payment of any additional tax due with interest as provided in section 32, to the commissioner within 1 year of receipt of notice of such final determination. If the federal government finally determines that there is a difference from the amount previously reported in (1) the taxable income of a person subject to taxation under chapter 63, or (2) a federal credit to which the person may be entitled, but only if the calculation of the credit has an effect on the computation of the tax imposed under chapter 63, the final determination shall be reported, accompanied by payment of any additional tax due with interest as provided in section 32, to the commissioner within 3 months of receipt of notice of the final determination. If the federal taxable estate of an estate subject to taxation under chapter 65C is finally determined by the federal government to be different from the taxable estate as previously reported, the final determination shall be reported, accompanied by payment of any additional tax due with interest as provided in section 32, to the commissioner within 2 months of receipt of notice of the final determination. The report shall include a statement of the reasons for the difference in a form as the commissioner may require. If from the report or upon investigation it shall appear that any tax under chapter 62, chapter 63 or chapter 65C has not been fully assessed, the commissioner shall, notwithstanding the 3 year limitation in section 26, assess an additional tax, if any, with respect thereto, with interest as provided in section 32. An assessment under this section shall be made in the manner provided in section 26 within 1 year of the receipt of the report or, where no report is filed with the commissioner, within 2 years of the receipt by the commissioner of information from the federal government that it has made a final determination of the person's federal taxable income or credits or of the federal taxable estate. A person or estate may include in the report of a change under this paragraph proposed offsets to the additional tax due based on issues unrelated to the change. The offsets, if allowed, may reduce or eliminate the additional tax due, but in no case shall the offset give rise to a refund of tax that would otherwise be barred as untimely. If, as a result of the change by the federal government in a person's federal taxable income, federal credits or federal taxable estate, the person or estate believes that a lesser tax was due the commonwealth than was assessed, the person or estate may apply in writing to the commissioner for an abatement thereof under section 37 within 1 year of the date of notice of the final determination by the federal government. The commissioner in his consideration of the application may offset against the proposed abatement additional tax due whether or not the additional tax is based on issues related to the change. Offsets based on issues unrelated to the change may reduce or eliminate the abatement, but in no case shall the offset give rise to a net amount of tax due based on an assessment that would otherwise be barred as untimely. The commissioner shall make no assessment under this section, nor allow any abatement under this section unless the assessment or abatement, less any offset allowable against the assessment or abatement under this section, is directly attributable to changes, adjustments, or corrections to the taxpayer's federal taxable income or credits or federal estate resulting in a final determination. Any person or estate failing to comply with the first paragraph shall be assessed a penalty of 10 per cent of the additional tax found due and such penalty shall become part of the additional tax found due. For reasonable cause shown, the commissioner may, in the commissioner's discretion, abate the penalty in whole or in part. For purposes of this section, the term ''person'' shall include any individual, partnership, trust, corporate trust or any other fiduciary subject to taxation under chapters sixty-two or sixty-five C, or any corporation subject to taxation under chapter sixty-three. For purposes of this section, a final determination of a change by the federal government may be initiated by the filing of an amended federal return by the taxpayer. For purposes of this section, a final determination of a change by the federal government includes a closing agreement or accepted offer in compromise under the Code, as amended and in effect for the taxable year, or any similar agreement that results in a change in federal taxable income, whether or not the audit or other review is complete with respect to issues not addressed in the agreement. In the case of the filing of a combined report pursuant to section 32B of said chapter 63, the principal reporting corporation shall file all notices of change as provided under this section, together with payment of additional amounts due or an application for abatement, as the case may be, on behalf of all corporations participating in or required to participate in the filing of the combined report. Without limitation, such notices of change shall be required from the principal reporting corporation in the event of a final determination of federal change to the income included or required to be included in the combined report, or any portion thereof, without regard to the particular corporations taking such income into account for federal income tax purposes or to whether such corporations are required to file a return under this chapter. A principal reporting corporation shall be subject to the penalties provided under this section in the event of failure to file a required notice of change under this paragraph. The commissioner of revenue may promulgate rules and regulations necessary to implement this section.

M.G.L. c. 62C, § 30A Adjustments based on final determination of tax due in certain other jurisdictions; report to commissioner; additional tax due or credit allowed in the commonwealth

c. 62C, § 30A. Adjustments based on final determination of tax due in certain other jurisdictions; report to commissioner; additional tax due or credit allowed in the commonwealth Section 30A. (a) If the tax due any other state, territory or possession of the United States, or the Dominion of Canada or any of its provinces, on account of any item of Massachusetts gross income of a Massachusetts resident, is finally determined by that jurisdiction to be less than the tax previously reported, and such tax was the basis for a credit claimed by the Massachusetts resident under subsection (a) of section 6 of chapter 62, the final determination shall be reported, accompanied by payment of any additional tax due with interest as provided in section 32, to the commissioner within 1 year of receipt of notice of the final determination. The report shall include a statement of the reasons for the difference in a form as the commissioner may require. If from the report or upon investigation it shall appear that any tax under chapter 62 has not been fully assessed, the commissioner shall, notwithstanding the limitation in section 26, assess an additional tax, if any, with respect thereto, with interest as provided in section 32. An assessment under this section shall be made in the manner provided in section 26 within 1 year of the receipt of the report or, where no report is filed with the commissioner, within 2 years of the receipt by the commissioner of information from the jurisdiction that it has made a final determination of the person's tax. A person may include in the report of a change under this paragraph proposed offsets to the additional tax due based on issues unrelated to the change. The offsets, if allowed, may reduce or eliminate the additional tax due, but in no case shall the offset give rise to a refund of tax that would otherwise be barred as untimely. (b) If, as a result of a change by such a jurisdiction in a person's tax due that jurisdiction, the person believes that he is entitled to additional credit under subsection (a) of section 6 of chapter 62 and that a lesser tax was due the commonwealth than was paid, the person may apply in writing to the commissioner for an abatement thereof under section 37 within 1 year of the date of notice of the final determination. The commissioner in his consideration of the application may offset against the proposed abatement additional tax due whether or not the additional tax is based on issues related to the change. Offsets based on issues unrelated to the change may reduce or eliminate the abatement, but in no case shall the offset give rise to a net amount of tax due based on an assessment that would otherwise be barred as untimely. (c) Any person failing to comply with subsection (a) shall be assessed a penalty of 10 per cent of the additional tax found due and such penalty shall become part of the additional tax found due. For reasonable cause shown, the commissioner may, in the commissioner's discretion, abate the penalty in whole or in part. (d) For purposes of this section, the term ''person'' shall include an individual or a fiduciary subject to taxation under chapter 62. (e) For purposes of this section, a final determination of a change may be initiated by the filing of an amended return by the taxpayer in the jurisdiction whose tax gives rise to the change. (f) The commissioner of revenue may promulgate rules and regulations necessary to implement this section.

M.G.L. c. 62C, § 30B Partnership-level audit

c. 62C, § 30B. Partnership-level audit Section 30B. (a) As used in this section, the following words shall have the following meanings unless the context clearly requires otherwise: ''Administrative adjustment'', an administrative adjustment pursuant to section 6227 of the Code. ''Approved modification'', a federal modification to an audited partnership's imputed underpayment pursuant to section 6225(c) of the Code. ''Audited partnership'', a partnership audited at the partnership level that results in a federal adjustment. ''Code'', as defined and as applicable under chapter 62 or chapter 63. ''Commissioner'', the commissioner of revenue. ''Direct partner'', a partner that holds an interest directly in a partnership or pass-through entity. ''Distributive share'' or ''distributive share of the final federal adjustment'', the distributive share of the final federal adjustment attributable to a partner of the partnership that is subject to the partnership-level audit. ''Federal adjustment'', a change to an item or amount determined under the Code that is used by an audited partnership or 1 or more of its partners to compute amounts owed under chapter 62 or chapter 63, whether resulting from: (i) action by the United States Internal Revenue Service; (ii) the filing of an amended federal return or other report; (iii) a federal refund claim; or (iv) an administrative adjustment request by the partners. ''Federal adjustments report'', a form or other submission required by the commissioner from an audited partnership to report: (i) a final federal adjustment with respect to a partnership-level audit; and (ii) the distributive share of the final federal adjustment attributable to each partner. ''Final determination date'', (i) if a federal adjustment results from a federal refund claim or an administrative adjustment, or if the federal adjustment has been reported on an amended federal return or other report pursuant to section 6225(c) of the Code, the date on which: (A) the administrative adjustment was made; (B) the amended return or refund claim was filed; or (C) such other report was filed or finalized; (ii) if a federal adjustment results from an audit or other action by the federal government, the date on which no federal adjustment arising from the audit or other action remains to be finally determined, whether by: (A) a decision by the federal government with respect to which all rights of appeal have been waived or exhausted; (B) agreement; or (C) in the event of an appeal or other contest, by a final decision with respect to which all rights of appeal have been waived or exhausted; provided, however, that if a single partnership-level audit results in a final determination under both clauses (i) and (ii), the final determination date shall be the date under clause (ii), unless the context specifically requires otherwise. ''Final federal adjustment'', a federal adjustment as of the final determination date for that adjustment. ''Imputed underpayment'', the amount determined under the notice of proposed partnership adjustment pursuant to section 6231 of the Code that would be owed by the partnership resulting from a partnership-level audit. ''Indirect partner'', a partner in a partnership or pass-through entity that itself holds an interest directly, or through another indirect partner, in a partnership or pass-through entity. ''Nonresident partner'', a partner that is an individual, trust or estate that is not a resident partner. ''Partner'', a person that holds an interest directly or indirectly in a partnership or other pass-through entity. ''Partnership'', as defined in section 1 of chapter 62. ''Partnership-level audit'', an examination by the federal government at the partnership level pursuant to sections 6221 to 6242, inclusive, of the Code that results in 1 or more federal adjustments. ''Pass-through entity'', an entity whose income, gains, losses, deductions or credits pass through to its partners for Massachusetts tax purposes, including a partnership, an S corporation or certain trusts. ''Resident partner'', a partner that is an individual, trust or estate and that is also a resident within the meaning of section 1 of chapter 62. ''Reviewed year'', the taxable year of a partnership that is subject to a partnership-level audit resulting in 1 or more federal adjustments. ''Tiered partnership'', a partner that is a partnership or pass-through entity. (b)(1) Not later than 90 days after the final determination date, an audited partnership shall: (i) notify the commissioner of the final determination date with respect to a partnership-level audit; (ii) file a federal adjustments report with the commissioner; and (iii) notify each of the audited partnership's direct partners of their distributive share of the final federal adjustment. The federal adjustments report shall: (A) identify each partner during the reviewed year; (B) specify each item addressed by, and the amount included in, the final federal adjustment; (C) explain how the final federal adjustment needs to be modified for state tax purposes to reflect relevant differences between federal and state law; and (D) provide any other information related to the final determination or modification as the commissioner may require. If the audited partnership has received an approved modification, the audited partnership shall notify the commissioner of this approval not later than 90 days after the date of such approval. An audited partnership that fails to meet the filing requirements in this subsection shall be subject to the non-filer penalties under chapter 62C. The statute of limitations for assessing a partner or an audited partnership pursuant to this section shall be tolled in any instance in which the audited partnership has not provided the commissioner with the notice and filing required by this subsection. (2) If a federal adjustments report, or the verification or investigation of the report or otherwise, identifies any tax due under chapter 62 or chapter 63 that has not been fully assessed to a partner of an audited partnership, or that is not otherwise accounted for under subsections (c) to (e), inclusive, the commissioner shall assess such partner an additional tax in an amount equal to the unpaid tax, with interest and penalties as provided in chapters 62, 62C and 63. Notwithstanding the time limitations of section 26, the assessment shall be made on or after 180 days after the final determination date. The assessment shall be made in the same manner as an assessment under section 30; provided, however, that the manner of making such assessment may be clarified or modified by the commissioner by regulation; and provided further, that the time limitations of said section 30 shall not apply. (c) An audited partnership that originally reported or paid tax on behalf of some or all of its partners, by means of a composite return or through pass-through entity withholding, shall amend its return or report, as the case may be, in the form and manner required by the commissioner to account for the distributive share of the final federal adjustment attributable to those partners and pay any additional tax, including applicable interest and penalties, attributable to such partners, not later than 90 days after the final determination date. An audited partnership that fails to meet these requirements shall be jointly and severally liable for the taxes due in connection with such return or report. (d) A partner of an audited partnership shall report and pay tax due under chapter 62 or chapter 63 with respect to adjustments resulting from a partnership-level audit that the partner reports federally on either an amended federal income tax return or otherwise, including through a return or report filed pursuant to section 6225(c)(2) of the Code, without including adjustments required to be reported for federal purposes pursuant to section 6225(a)(2) of the Code, not later than 180 days after the final determination date that relates to the adjustment as reported on such return or other report. The requirement to make such report and payment shall be treated as being in response to a federal change within the meaning of section 30 of chapter 62C and will be subject to interest and penalties thereunder. (e)(1) If taxes due from an audited partnership's partners under chapter 62 or chapter 63 are not otherwise accounted for under subsections (c) or (d), the audited partnership may make an election to pay such taxes not later than 90 days after the final determination date. An audited partnership making this election shall make such payment not later than 180 days after the final determination date. An election under this subsection shall not apply to the distributive share attributable to a corporate partner that participated in a combined report under section 32B of said chapter 63 for the reviewed year and such distributive share shall not be included in the computation of the tax payment with respect to the distributive shares attributable to the audited partnership's direct and tiered partners under this paragraph. Such corporate partner shall directly account for its taxes owed. The tax payment with respect to the distributive shares attributable to the audited partnership's direct and tiered partners shall be determined as follows: (A) for distributive shares attributable to direct partners that are not tiered partnerships, the tax payment shall be determined as follows: (i) the distributive share reported or attributable to each direct partner that is not subject to Massachusetts income tax shall be excluded from the total distributive share attributable to such partners; (ii) for a partner subject to income tax under said chapter 63, including under section 38Y of said chapter 63, the partner's distributive share shall be allocated or apportioned, as provided under said chapter 63, using the allocation or apportionment method applicable to the partner and the resulting amount shall be multiplied by the applicable rate of tax set forth in said chapter 63; (iii) for a partner who is a Massachusetts resident subject to tax under said chapter 62, the amount of the partner's distributive share subject to tax under said chapter 62 shall be multiplied by the rate of tax set forth in said chapter 62 that is applicable to each item of income; and (iv) for a partner who is a nonresident subject to tax under section 5A of said chapter 62 or section 10 of said chapter 62, the amount of each such partner's distributive share required to be sourced to the commonwealth and subject to tax under said section 5A of said chapter 62 or said section 10 of said chapter 62 shall be multiplied by the rate of tax set forth in said chapter 62 that is applicable to each item of income. (B) for the distributive shares attributable to indirect partners, the tax payment shall be determined as follows: (i) an indirect partner's distributive shares shall be treated as if attributable to a resident direct partner and the tax shall be determined using the method set forth in clause (iii) of subparagraph (A), except to the extent that certain shares are subject to the calculations set forth in clause (ii); (ii) to the extent that the audited partnership or the commissioner can clearly demonstrate that an indirect partner is subject to income tax under chapter 63, including under said section 38Y of said chapter 63, the tax owed on such partner's distributive share shall be calculated using the methods set forth in clause (ii) of subparagraph (A); (iii) to the extent that the audited partnership can clearly demonstrate that an indirect partner is subject to tax under said section 5A of said chapter 62 or said section 10 of said chapter 62, the tax owed on the amount of the partner's distributive share required to be sourced to the commonwealth under said section 5A of said chapter 62 or said section 10 of said chapter 62 shall be calculated using the method set forth in clause (iv) of subparagraph (A); and (iv) to the extent that the audited partnership can clearly demonstrate that an indirect partner is not subject to Massachusetts income tax, the distributive share attributable to the partner shall be excluded from the calculation; and (C) the amount to be paid by the audited partnership on behalf of the partners shall be determined by adding the amounts determined in clauses (ii) to (iv), inclusive, of subparagraph (A), the amounts determined in clauses (i) to (iii), inclusive, of subparagraph (B) and any interest or penalty attributable to the respective partners as determined under chapters 62, 62C and 63. (2) A partnership that makes an election under this subsection that is not otherwise subject to the laws of the commonwealth shall consent to be subject to such laws. A partnership that makes this election shall be subject to section 31A as if it were an individual. (3) An election made pursuant to this subsection is irrevocable, unless the commissioner consents to a partnership's request to revoke the election or determines that the election was made to avoid the imposition of the proper amount of tax. (4) If properly reported and paid, the amount determined under this subsection with respect to an audited partnership shall be treated as paid on behalf of the partners of the partnership. Such partners shall not take any deduction or credit for this amount or based on this amount or claim a refund of this amount. Nothing in this section shall preclude a resident partner from claiming a credit against taxes paid to another jurisdiction under subsection (a) of section 6 of said chapter 62 for any amount paid by the partnership on the resident partner's behalf to another jurisdiction. (f) The direct and indirect partners of an audited partnership that are tiered partnerships, and all of the partners of such tiered partnerships that are subject to tax under chapter 62 or chapter 63, shall be subject to the reporting and payment requirements of subsections (b), (c) and (d). The indirect partners and their partners shall make required reports and payments not later than 90 days after the time for filing and furnishing statements to the indirect partners and their partners consistent with section 6226 of the Code. For an audited partnership that has not made the election under subsection (e), its partners that are tiered partnerships are entitled to make such election, and to pay an amount on behalf of such tiered partnerships' partners, consistent with said subsection (e). (g) An audited partnership and a partner of an audited partnership that makes an election pursuant to subsection (e) shall be a taxpayer for purposes of chapters 62, 62C and 63, as applicable, with respect to the duties and obligations imposed by, and any rights resulting from, said chapters 62, 62C and 63 and this section. (h) The commissioner may enter into an agreement with an audited partnership or a tiered partnership to use an alternative reporting and payment method. (i) If an audited partnership fails to timely make a payment or file a report required under this section or underpays any taxes due, the commissioner may assess 1 or more partners for taxes they owe under chapter 62 or chapter 63, including interest and penalties, according to the commissioner's best information and belief. (j) Nothing in this section shall limit the ability of the commissioner to audit or assess direct partners, indirect partners or tiered partnerships with respect to items derived from an audited partnership or the ability of the commissioner to inspect the books and records of an audited partnership. (k) For purposes of this section, a partnership representative shall have the sole authority to act on behalf of the audited partnership and its direct and indirect partners with respect to actions taken by the audited partnership under this section. The audited partnership's direct and indirect partners shall be bound by the partnership representative's actions. The partnership representative shall be deemed to be the partnership representative as determined under the Code; provided, however, that the commissioner may modify the determination and provide additional rules for making the determination through regulations or other guidance. (l) An audited partnership or a partner of the audited partnership may make payments to the commissioner as set forth in chapters 62, 62C or 63 of a tax expected to be due from a pending partnership-level audit prior to the due date of the federal adjustments report. The payments shall be credited against any tax liability ultimately found to be due and shall limit the accrual of further statutory interest on such amount. If the payments exceed the final tax liability, including any interest and penalties, the audited partnership or partner may be entitled to a refund or credit, as the case may be, under said chapters 62, 62C or 63, as applicable, if the audited partnership or partner files a federal adjustments report or claim for a refund not later than 1 year after the final determination date. (m) The commissioner may promulgate regulations and issue other guidance to implement or explain the provisions of this section. Such regulations or other guidance may apply the principles set forth in sections 6221 to 6242, inclusive, of the Code or federal regulations or other guidance promulgated or issued thereunder to prevent the omission or duplication of state tax due as the result of a partnership-level audit and to account for differences between federal and state law.

M.G.L. c. 62C, § 31 Notice of assessment in excess of amount on return

c. 62C, § 31. Notice of assessment in excess of amount on return Section 31. If the assessment of any tax is in excess of the amount shown on the return as the tax due, the commissioner shall, as soon as may be, give written notice to the taxpayer of the amount of the assessment, the amount of any balance due and the time when the same is required to be paid. Failure to receive such notice shall not affect the validity of the tax. In the case of 1 or more corporations that participated in or are required to participate in a filing through the means of a combined report under section 32B of chapter 63, the commissioner may issue a single notice directed to the principal reporting corporation on its own behalf and as the agent for each corporation that is being assessed. This single notice shall state the net cumulative liability of all such assessed corporations.

M.G.L. c. 62C, § 31A Notice of unpaid corporate or partnership assessment; liability of individuals; abatement

c. 62C, § 31A. Notice of unpaid corporate or partnership assessment; liability of individuals; abatement Section 31A. If a person fails to pay to the commissioner any required tax of a corporation, partnership or limited liability company and the person is personally and individually liable therefore to the commonwealth under section 5 of chapter 62B, section 7D of chapter 64C, section 7B of chapter 64G, section 16 of chapter 64H section 17 of chapter 64I or section 6 of chapter 64L, the commissioner shall notify the person in writing at any time during the period of time that the assessment against the corporation, partnership or limited liability company remains in existence and unpaid. The person or his representative may confer with the commissioner or his duly authorized representative as to the assessment of the tax or the proposed determination that he is personally and individually liable therefore within 30 days after the date of such notification. After the expiration of 30 days from the date of the notification, the person shall be personally and individually liable for the tax of the corporation, partnership or limited liability company, which shall be considered to be assessed against the person, and a lien under section 50 upon all property and rights of property, whether real or personal, belonging to the person shall arise in favor of the commonwealth. If such person is aggrieved by the assessment of the tax or the determination that he is personally and individually liable therefor, he may apply, in writing to the commissioner, on a form approved by him, for an abatement thereof at any time within the dates provided in section thirty-seven or within sixty days from the date of the notice under this section, whichever is later. All provisions of sections thirty-seven to thirty-nine, inclusive, shall apply to such application for abatement.

M.G.L. c. 62C, § 32 Payment date; interest; notice; contested taxes not collected involuntarily during time taxpayers contest taxes

c. 62C, § 32. Payment date; interest; notice; contested taxes not collected involuntarily during time taxpayers contest taxes Section 32. (a) Taxes shall be due and payable at the time when the tax return is required to be filed, determined without regard to any extension of time for filing the return. If any amount of tax is not paid to the commissioner on or before its statutory due date, there shall be added to the tax interest at the rate of the Federal short-term rate determined under section 6621(b) of the Internal Revenue Code, as amended and in effect for the taxable year, plus four percentage points, compounded daily. (b) Taxes assessed under sections twenty-six, twenty-seven and thirty and taxes and penalties assessed under section twenty-eight shall include interest as provided in paragraph (a) of this section to the date when the tax so assessed, or any unpaid balance thereof, is required to be paid, which shall be the thirtieth day following the date of the notice of tax due. (c) A penalty assessed under subsection (a) of section thirty-three of this chapter shall include interest as provided in paragraph (a) of this section from the statutory due date including extensions to the date of payment of such penalty. A penalty assessed under subsections (b) or (c) of said section thirty-three shall include interest as provided in paragraph (a) of this section from a date thirty-one days after the date of the notice of assessment to the date of payment of such penalty. (d) Any notice authorized or required under the provisions of this chapter shall include a clear and accurate calculation of the accrual of penalties and interest assessed. Each such notice is to display the interest rates, periods and the taxes and penalties upon which these amounts are calculated. (e) (1) Notwithstanding the foregoing, no tax imposed by chapters 62, 63, 64A to 64F, inclusive, 64J to 65C, inclusive, and by section 21 of chapter 138, shall be required to be paid or shall be collected involuntarily during the period of time that the taxpayer is contesting the tax as set forth in subparagraphs (A) to (C), inclusive. In the case of trustee taxes imposed by chapter 62B and by chapters 64G to 64I, inclusive, no tax shall be required to be paid or collected involuntarily during the period of time the taxpayer is contesting the tax as set forth in subparagraphs (A) to (C), inclusive, if the trustee taxes were not withheld by the employer or collected by the vendor. In accordance with the foregoing, no tax shall be required to be paid or shall be collected involuntarily during the time that the taxpayer: (A) has pending a timely application for abatement filed with the commissioner under section 37 contending that such tax is not due, or (B) has pending a petition filed with the appellate tax board or the probate court under section 39 appealing the refusal of the commissioner to abate any such tax, or (C) has pending an appeal from a decision on a petition described in subparagraph (B) of paragraph (1) of subsection (e) to the extent that the taxpayer has prevailed in the appellate tax board or the probate court. (2) With respect to any assessment of tax, if only a portion of such tax is in dispute as provided in subparagraph (A) to (C), inclusive, of paragraph (1), the provisions of this subsection shall apply only to the portion that is in dispute. (3) The amount of tax in dispute as provided in subparagraphs (A) to (C), inclusive, of paragraph (1) shall be required to be paid only after (i) the thirtieth day following the date of a decision with respect to such tax by the appellate tax board or the probate court, to the extent that the commissioner prevails before the appellate tax board or the probate court, (ii) the date of withdrawal of any petition with respect to such tax filed with the appellate tax board or the probate court, (iii) the date on which any right of appeal from a refusal or deemed refusal by the commissioner to grant an abatement of such tax expires without any such appeal having been filed, or (iv) in the case of a deficiency assessment but not a deemed assessment under paragraph (a) of section 26, the sixtieth day after the date on which the Commissioner gives notice of such assessment under section 31 or 31A if the taxpayer has not applied to the commissioner for an abatement of the tax, whichever shall first occur. For purposes of this paragraph, the date of a decision by the appellate tax board shall be determined without reference to any later issuance of finding of facts and report by the board or to any request for a finding of facts and report. Any tax payment delayed under this subsection shall, however, continue to bear interest as provided in this section. The penalty provided under subsection (c) of section 33 shall apply only during such periods as the portion of the tax disputed is required to be paid and remains unpaid. The statute of limitations on collections set forth in section 65 and the aging of tax liens set forth in section 50 shall be suspended during the period that payment or collection of the tax is stayed under this subsection. (4) If the commissioner makes an assessment under section 28 or section 29 or if he at any time determines in accordance with written guidelines that (i) the collection of the tax will be jeopardized by delay, (ii) the past tax return filing or payment history of the taxpayer raises doubt as to the collection of the tax if delayed, or (iii) any application for abatement or petition is frivolous and has been filed primarily to avoid prompt payment of the tax, then the commissioner shall by written notice sent by certified or registered mail inform any taxpayer wishing to delay payment of a tax under this subsection of the requirement to deposit security, in a form satisfactory to the commissioner, equal to the unpaid amount which remains in dispute, including any interest and penalties that have accrued or may accrue, that such action is necessary to ensure the collection of such liability. Such security may include a surety bond, cash, cash equivalents, a negotiable bond or a letter of credit from a financial institution located and doing business in the commonwealth. Such security shall not be required if the portion of the tax in dispute, excluding interest and penalties that have accrued after assessment, is $5,000 or less in the aggregate for all tax periods involved in the dispute; provided, however, that in the case of an assessment made against the partners of a partnership, the members of a limited liability company or limited liability partnership or the shareholders of a subchapter S corporation in connection with the activities of such partnership, limited liability company, limited liability partnership or subchapter S corporation, the commissioner shall by written notice sent by certified or registered mail require such security if the total of such assessments made against all such partners, members or shareholders in the aggregate for all tax periods exceeds $5,000. If a taxpayer fails to provide security following written notice by the commissioner, the provisions of this subsection shall not apply, and the tax shall be required to be paid within 30 days after written notice for security was given. (5) Any dispute over the commissioner's determination that (i) the collection of the tax will be jeopardized by delay, (ii) the past tax return filing or payment history of the taxpayer raises doubt as to the collection of the tax if delayed, or (iii) any application for abatement or petition is frivolous and has been filed primarily to avoid prompt payment of the tax, shall be resolved by the appellate tax board. Within 30 days of the date of the commissioner's written notice, the taxpayer shall file a motion with the appellate tax board seeking a ruling on the commissioner's determination in accordance with rules to be prescribed by the appellate tax board. The taxpayer shall not be required to deposit security or to make payment of any amount in issue until the appellate tax board rules on the taxpayer's motion. The appellate tax board shall rule on the taxpayer's motion within ten business days. (f) In the event of a deficiency assessment issued by the department after an audit of a return filed by a taxpayer for a tax period, where the length of the audit exceeded 18 months as measured from the department's opening conference with the taxpayer or the taxpayer's duly authorized representative to discuss a field audit or, in the case of a desk audit from its initial letter or other written communication to the taxpayer notifying the taxpayer that a desk audit has been initiated, to its issuance of a notice of intent to assess tax, the department shall determine the interest payable with respect to such deficiency after the expiration of such 18 month period and before the department's issuance of such notice of intent to assess, by reducing the rate provided in subsection (a) by 2 percentage points, but not below zero, or, in the case of an audit whose length as so determined exceeds 36 months, by reducing the rate provided in subsection (a) with respect to such period after the expiration of 18 months and before the department's issuance of the notice of intent to assess by 2.5 percentage points, but not below zero, if in either instance it determines that the taxpayer complied with all requests for information or documentation made during the audit period with substantial promptness and completeness, and where the taxpayer is not otherwise responsible for the extended duration of the audit. A taxpayer may appeal a department determination that the taxpayer did not comply with an audit request for information or documentation with substantial promptness and completeness to the appellate tax board along with any assessed tax in dispute.

M.G.L. c. 62C, § 32A Outstanding obligations on installment transactions; method for determining interest

c. 62C, § 32A. Outstanding obligations on installment transactions; method for determining interest Section 32A. (a) If an obligation from an installment transaction to which subsections (a) to (c), inclusive, of section 453A of the Code applies is outstanding as of the close of a taxable year, the tax imposed by chapter 62 or 63 for that taxable year shall be increased by the amount of interest equal to the product of the applicable percentage of the deferred tax liability determined under section 453A(c) of the Code, adjusted to reflect differences in, or otherwise to take into account, the tax laws of the commonwealth, including use of the applicable tax rate under said chapter 62 or 63, multiplied by the underpayment rate in effect under subsection (a) of section 32. (b) In the case of an installment obligation to which section 453(l)(2)(B) of the Code applies, the tax imposed by chapter 62 or 63 for a tax year in which payment on that obligation is received shall be increased by an amount of interest determined as follows: the amount of tax for that taxable year attributable to the payments on installment obligations to which this subsection applies shall be multiplied by the underpayment rate determined under subsection (a) of section 32 in effect at the time of sale, which rate shall be applied for the period beginning on the date of sale and ending on the date that payment is received. (c) The commissioner may issue rules or regulations analogous to those under sections 453 and 453A of the Code, adjusted to reflect differences in, or otherwise to take into account, the tax laws of the commonwealth.

M.G.L. c. 62C, § 33 Late returns; penalty; abatement

c. 62C, § 33. Late returns; penalty; abatement Section 33. (a) If any return is not filed with the commissioner on or before its due date or within any extension of time granted by him, there shall be added to and become a part of the tax, as an additional tax, a penalty of one per cent of the amount required to be shown as the tax on such return for each month or fraction thereof during which such failure continues, not exceeding, in the aggregate, twenty-five per cent of said amount. (b) If any amount of tax is not paid to the commissioner on or before the date prescribed for payment of such tax, determined with regard to any extension of time for payment, there shall be added to the amount shown as tax on such return a penalty of one per cent of the amount of such tax for each month or fraction thereof during which such failure continues, not exceeding, in the aggregate, twenty-five per cent of said amount. (c) If any amount of tax required to be shown on a return is not so shown, including an assessment made pursuant to the provisions of this chapter, and such tax is not paid within thirty days following the date of the notice of the tax due, there shall be added to the amount of tax stated in such notice a penalty of one per cent of the amount of such tax for each month or fraction thereof during which such failure continues, not exceeding, in the aggregate, twenty-five per cent of said amount. (d) For purposes of subsection (a), the amount of tax required to be shown on the return shall be reduced by the amount of any part of the tax which is paid on or before the date prescribed for payment of the tax and by the amount of any credit against the tax which may be claimed upon the return. For purposes of subsections (b) and (c), the amount of tax shown on the return shall, for the purpose of computing the addition for any month, be reduced by the amount of any part of the tax which is paid before the beginning of such month. (e) This section shall not apply to any failure to file a declaration of estimated tax required by chapters sixty-two B or sixty-three B or to pay any estimated tax required to be paid by said chapters. (f) If it is shown that any failure to file a return or to pay a tax in a timely manner is due to reasonable cause and not due to willful neglect, any penalty or addition to tax under this section may be waived by the commissioner, or if such penalty or addition to tax has been assessed, it may be abated by the commissioner, in whole or in part. (g) If after the commissioner has required taxpayers either to prepare or file any required return, document, or information, or to make a required tax payment or estimated payment, by way of a specified automated or electronic means, format, method, or medium, a taxpayer fails to comply with the prescribed method for the filing, data transfer, or payment, the taxpayer shall be considered not to have made the required filing or the required payment. Upon a failure to comply, the commissioner, in addition to other remedies available to him, shall send the taxpayer a notice of improper filing or payment specifying the nonconformity therein, but shall not be required to send the notice for subsequent instances of noncompliance. Thereafter, if the taxpayer, without reasonable cause, fails to conform any filing, data transfer or payment with the method prescribed by the commissioner in tax years beginning on or after January 1, 2005, there shall be added to and become a part of the tax required to be paid a penalty in an amount not greater than $100 for each improper return, document or data transmission, and for each improper payment. The penalty shall be considered assessed by the issuance by the commissioner of a notice to the taxpayer setting out the amount of the penalty, the tax period and tax type affected and the reason for the penalty. No notice of intention to assess, notice of assessment, or any demand for payment shall be required as a prerequisite to the imposition or collection of a penalty imposed under this subsection. A penalty imposed by the commissioner for an improper filing or payment shall be subject to subsection (f) relative to the waiver of penalties.

M.G.L. c. 62C, § 33A United States postmark; alternative private delivery service; date of payment; application of section

c. 62C, § 33A. United States postmark; alternative private delivery service; date of payment; application of section Section 33A. If any return, application for abatement of tax, statement or other document required to be filed with the commissioner, or any payment to the commissioner required to be made within a prescribed period or on or before a prescribed date is, after such period or date, delivered by United States mail, or by such alternative private delivery service as the commissioner may by regulation permit, to the office with which such return, application, statement or other document is required to be filed, or to which such payment is required to be made, the date of the United States postmark, or other substantiating date mark permitted by regulation, affixed on the envelope or other appropriate wrapper in which such return, application, statement or other document, or payment, is mailed or delivered shall be deemed to be the date of delivery or the date of payment as the case may be. This provision shall apply only if (A) the postmark date or other substantiating date mark permitted by regulation falls within the prescribed period or on or before the prescribed date (i) for the filing, including any extension granted for such filing, of the return, application, statement or other document or (ii) for making the payment including any extension granted for making such payment; and (B) the return, application, statement or other document, or payment was, within the time prescribed in clause (A), deposited in the mail in the United States in an envelope or other appropriate wrapper, first class postage prepaid, or delivered to such alternative private delivery service, properly addressed to the office with which the return, application, statement or other document is required to be filed, or to which such payment is required to be made. This section shall apply to any return required to be filed under sections ten or sixteen and any payment required to be made in connection therewith under section thirty-two or under chapters sixty-four A to sixty-four J, inclusive, or chapter one hundred and thirty-eight only if the date of mailing or delivery to such private delivery service falls on or before the second day before such prescribed date and the payment was, on or before such second day, mailed in the United States in an envelope or other appropriate wrapper, first class postage prepaid, or delivered to such alternative private delivery service, properly addressed to the office with which such return or payment is required to be made. If any petition is, after the period or date prescribed under section 39, delivered by United States mail, or by such alternative private delivery service as the appellate tax board may by rule permit, to the appellate tax board, the date of the United States postmark, or other substantiating date mark permitted by rule of the board, affixed on the envelope or other appropriate wrapper in which such petition is mailed or delivered shall be deemed to be the date of delivery, if such petition was mailed in the United States in an envelope or other appropriate wrapper, first class postage prepaid, or delivered to such alternative private delivery service, properly addressed to the board. As used in this section, ''United States postmark'' means only a postmark made by the United States Post Office.

M.G.L. c. 62C, § 34 Penalty for failure to file returns; payment

c. 62C, § 34. Penalty for failure to file returns; payment Section 34. If any person required to file a return, list or report of a payment to another person under section eight fails to file the same within the time prescribed by said section, he shall become liable to a penalty at the rate of one dollar for each such return, list or report of a payment to another person not so filed; provided, however, that the total penalty imposed on a delinquent person for all such failures during any calendar year shall not exceed one thousand dollars. If any partnership required to file a return under section seven fails to file the return within the time therein provided, it shall become liable to a penalty of five dollars for every day during which it is in default. If any promoter required to file a report under section eight A fails to file the report within the time therein prescribed, he shall be liable for a penalty of five dollars for each day during which he has so failed to not file such report. Such penalty shall be paid upon notice by the commissioner and shall be assessed and collected in the same manner as a tax. For good and sufficient cause such penalty may be waived by the commissioner, or a penalty which has been assessed may be abated by the commissioner in whole or in part.

M.G.L. c. 62C, § 35 Payment by check or electronic funds transfer; penalty for nonpayment of check or electronic funds transfer

c. 62C, § 35. Payment by check or electronic funds transfer; penalty for nonpayment of check or electronic funds transfer Section 35. If a check or electronic funds transfer in payment of any tax, interest, penalty, fee or other charge is not duly paid, there shall, in addition to any other penalties provided by law, be paid as a penalty by the person who tendered such check or electronic funds transfer, upon notice and demand by the commissioner in the same manner as the tax or other amount to which the check or electronic funds transfer relates, an amount equal to 2 per cent of the amount of such check or electronic funds transfer; provided, however, that if the amount of such check or transfer is less than $1,500, the penalty under this section shall be $30 or the amount of such payment, whichever is less. This section shall not apply if the person tendered a check or authorized an electronic funds transfer in good faith and with reasonable cause to believe that it would be duly paid. The commissioner may, in his discretion, abate any such penalty in whole or in part.

M.G.L. c. 62C, § 35A Penalty for underpayment of tax required to be shown on return

c. 62C, § 35A. Penalty for underpayment of tax required to be shown on return Section 35A. (a) If this section applies to any portion of an underpayment of tax required to be shown on a return, there shall be added to the tax an amount equal to 20 per cent of the portion of the underpayment to which this section applies. For purposes of this section, the term ''underpayment'' means the amount by which any tax exceeds the amount shown as the tax by the taxpayer on the return. (b) This section shall apply to the portion of any underpayment which is attributable to 1 or more of the following: (1) negligence or disregard of the tax laws of the commonwealth or of public written statements issued by the commissioner; (2) any substantial understatement of liability for a tax referred to in section 2. (c) For purposes of this section, the term ''negligence'' includes any failure to make a reasonable attempt to comply with the laws or public written statements, the term ''disregard'' includes any careless, reckless, or intentional disregard, and there is a substantial understatement of liability for a tax for any tax period if the amount of the understatement for the period exceeds the greater of 10 per cent of the tax required to be shown on the return for the period or $1,000. (d) For purposes of subsection (c), the term ''understatement'' means the excess of the amount of the tax required to be shown on the return for the period over the amount of the tax which is shown on the return. The amount of the understatement shall be reduced by that portion of the understatement which is attributable to (i) the tax treatment of any item by the taxpayer if there is or was substantial authority for the treatment; or (ii) any item if the relevant facts affecting the tax treatment of the item are adequately disclosed in the return or in a statement attached to the return, and there is a reasonable basis for the tax treatment of the item by the taxpayer, but this subparagraph (ii) shall not apply in the case of listed abusive transactions or strategies within the meaning of paragraph (b) of section 35B. (e) The penalty set forth in this section shall apply only in cases where a return of tax is filed.

M.G.L. c. 62C, § 35B Good faith defense for underpayment penalty; list of abusive transactions or tax strategies

c. 62C, § 35B. Good faith defense for underpayment penalty; list of abusive transactions or tax strategies Section 35B. (a) A penalty shall not be imposed under section 35A with respect to any portion of an underpayment if it is shown that there was reasonable cause for such portion and that the taxpayer acted in good faith with respect to such portion. With respect to listed abusive transactions or strategies within the meaning of subsection (b), the commissioner may, by regulation, set forth circumstances under which the penalties otherwise may be waived in the interest of the efficient administration of the tax laws of the commonwealth. (b) The commissioner may, from time to time, list by regulation items that he considers to be abusive transactions or tax strategies for purposes of section 35A and of this section.

M.G.L. c. 62C, § 35C Understatement of liability with respect to any return or claim for abatement or refund; penalty

c. 62C, § 35C. Understatement of liability with respect to any return or claim for abatement or refund; penalty Section 35C. (a) If (i) any part of any understatement of liability with respect to any return or claim for abatement or refund is due to a position for which there was not a realistic possibility of being sustained on its merits; (ii) any person who is a return preparer with respect to the return or claim knew or reasonably should have known of the position; and (iii) the position was not disclosed as provided in subsection (d) of section 35A or was frivolous; the person shall pay a penalty of $1,000 with respect to the return or claim unless it is shown that there is reasonable cause for the understatement and the person acted in good faith. The penalty imposed under this paragraph may be assessed within 3 years after the return or claim was filed. Any claim for abatement of the penalty shall be filed within 3 years from the time the penalty was paid. The commissioner may waive or abate the penalty imposed under this subsection if the taxpayer demonstrates that its failure to comply was due to reasonable cause and not willful neglect. (b) If any part of any understatement of liability with respect to any return or claim for refund is due to (i) a willful attempt in any manner to understate the liability for tax by a person who is a return preparer with respect to the return or claim, or (ii) a careless, reckless or intentional disregard by the person of the tax laws of the commonwealth or of public written statements issued by the commissioner; the person shall pay a penalty equal to the greater of $1,000 or 10 per cent of the tax attributable to such part of the understatement; but, if both the penalty imposed under subsection (a) and the penalty imposed under this subsection are applicable to the same return or claim, the penalty imposed under this subsection shall be reduced by the amount of the penalty imposed under subsection (a). The penalty imposed under this subsection may be assessed against the preparer at any time. A claim for abatement of the penalty shall be filed within 2 years from the time the assessment was made. (c) Except as otherwise provided in this section, the penalties imposed under this section shall be administered in accordance with the rules set forth in this chapter for the administration of taxes generally.

M.G.L. c. 62C, § 35D Inconsistent position in reporting of income; disclosure

c. 62C, § 35D. Inconsistent position in reporting of income; disclosure Section 35D. (a) A taxpayer subject to the tax imposed under chapter 62 or an excise imposed under chapter 63 that takes an inconsistent position in reporting its income subject to tax under said chapters shall disclose the inconsistency when it files its return. (b) For purposes of this section, a taxpayer is considered to have taken an ''inconsistent position'' when (i) the governing law in another state in which the taxpayer files a return is the same in all material respects as the law in the commonwealth; and (ii) if the taxpayer had interpreted the law of the commonwealth as it interpreted the law of the other state in filing its return in such state, the taxable income attributed to the commonwealth would have been greater. (c) Any taxpayer that fails to disclose an inconsistency as required under subsection (a) shall pay a penalty equal to the amount of tax attributable to the inconsistency, which penalty shall be in addition to all other penalties that may apply. The commissioner may waive or abate the penalty if the inconsistency or the failure to disclose was attributable to reasonable cause and not willful neglect.

M.G.L. c. 62C, § 35E False or deliberately misleading statements respecting allowability of deduction or credit, excludability of income or securing other tax benefits; penalty

c. 62C, § 35E. False or deliberately misleading statements respecting allowability of deduction or credit, excludability of income or securing other tax benefits; penalty Section 35E. (a) If a person (i) organizes or assists in the organization of a plan or arrangement or the sale of a plan or arrangement, and (ii) makes or furnishes, or causes another person to make or furnish, a statement with respect to the allowability of a deduction or credit, the excludability of income, or the securing of any other tax benefit, including but not limited to the avoidance of a filing requirement with respect to a tax return that would otherwise be required to be filed under this chapter, which the person knows or has reason to know is false, fraudulent or deliberately misleading as to any material matter, that person shall pay, with respect to each taxpayer to whom the statement is made, a penalty equal to $5,000, or, if the person establishes that it is lesser, 100 per cent of the gross income derived or to be derived from the activity described in this subsection. The penalty imposed under this subsection may be assessed against the person within 6 years after the statement was made. A claim for abatement of the penalty shall be filed within 2 years from the time the assessment was made. (b) Except as otherwise provided in this section, the penalties imposed under this section shall be administered in accordance with the rules set forth in this chapter for the administration of taxes generally.

M.G.L. c. 62C, § 35F Penalties for sale or offers for sale of an automated sales suppression device or phantom-ware

c. 62C, § 35F. Penalties for sale or offers for sale of an automated sales suppression device or phantom-ware Section 35F. (a) For the purposes of this section, the following words shall have the following meanings unless the context clearly requires otherwise: ''Automated sales suppression device'', a software program, carried on a memory stick or removable compact disc or accessed through an internet link or through any other means, that falsifies the electronic records of electronic cash registers or other point-of-sale systems including, but not limited to, transaction data and transaction reports. ''Phantom-ware'', a hidden programming option that is embedded in the operating system of an electronic cash register or hardwired into the electronic cash register and may be used to create a virtual second till or to eliminate or manipulate transaction records to represent the true or manipulated record of transactions in the electronic cash register. (b) A person or entity that sells or offers for sale an automated sales suppression device or phantom-ware shall, in addition to any other penalty provided by this chapter, be subject to a civil penalty of not more than $25,000 for the first offense and not more than $50,000 for each subsequent offense. A person or entity that purchases, installs, transfers, maintains, repairs or possesses an automated sales suppression device or phantom-ware shall, in addition to any other penalty provided by this chapter, be subject to a civil penalty of not more than $10,000 for the first offense and not more than $25,000 for each subsequent offense. The penalty shall be paid upon notice by the commissioner and shall be assessed and collected in the same manner as a tax.

M.G.L. c. 62C, § 36 Overpayment of tax, interest, or penalty; refund or credit; persons against whom a default or arrest warrant has been issued

c. 62C, § 36. Overpayment of tax, interest, or penalty; refund or credit; persons against whom a default or arrest warrant has been issued Section 36. If, on the verification of a return or otherwise, the commissioner determines that an overpayment of the full amount of any tax, and interest and penalties thereon, due with respect to such return has been made by the taxpayer, the amount of such overpayment may, in his discretion, be deducted from any unpaid amounts of any other taxes due from the taxpayer. The balance of such overpayment shall be refunded to the taxpayer if it exceeds ten dollars; if such balance is ten dollars or less, it may be refunded in the discretion of the commissioner or upon the application of the taxpayer. Interest upon such refund shall be paid in accordance with section forty. The commissioner may, at the request of any taxpayer entitled to a refund of taxes paid, make such refund to a bank account designated by the taxpayer to receive such refund. A request for a refund or credit of an overpayment of any tax where a required return has not been timely filed, shall be made by filing the overdue return within 3 years from the due date of the return, taking into account any extension of time for filing the return, or within 2 years of the date that the tax was paid, whichever is later. A request for a refund or credit of an overpayment of any tax where no return is required shall be made by the taxpayer within 2 years from the time the tax was paid. A request for a refund or credit of an overpayment of tax where the required return was timely filed shall be made within the period permitted for abatement for that return under section 37. Any request for a refund or credit filed beyond these deadlines shall be denied by the commissioner. Where a refund or credit results from an abatement under section 37, the amount of such refund or credit shall be limited to the amount paid, or deemed paid pursuant to section 79, within 3 years of the date that the application for abatement is filed, taking into account any extension of time for filing the return. Notwithstanding the preceding sentence and any contrary provision of section 27, where the commissioner and the taxpayer have agreed to extend the period for assessment of a tax pursuant to section 27, the amount of any refund or credit, whether determined by the commissioner to be an overpayment pursuant to section 27 or claimed by the taxpayer pursuant to a timely filed application for abatement, shall not exceed the amount of the tax paid after the execution of the agreement and before the expiration of the agreed extension period or periods plus the amount of the tax paid which would otherwise be eligible for refund under this section if an application for abatement had been filed on the date the agreement was first executed. This section shall not limit refunds or credits otherwise allowed pursuant to section 30 or 30A. No person against whom a default or arrest warrant issued by any court of the commonwealth is outstanding may be issued a state tax refund. In lieu of the payment, the taxpayer shall receive notice informing the taxpayer that the refund is being withheld because there is a default or arrest warrant outstanding for such individual and that the refund will be withheld until the individual furnishes sufficient proof that the default or arrest warrant has been recalled or that no such warrant exists. Such refund shall be issued upon presentation of sufficient proof to the commissioner that said warrant has been recalled or that there is no such warrant outstanding for the individual. The commissioner of revenue shall promulgate regulations to implement this section, which shall include the opportunity for a hearing to challenge the existence of the outstanding warrant. If a hearing is requested, the law enforcement agency responsible for the warrant shall be notified of the time, place, date of hearing and the subject of the warrant. An affidavit from the law enforcement agency responsible for the warrant or from the colonel of the state police may be introduced as prima facie evidence of the existence of a warrant without the need for members of that law enforcement agency to attend any hearings held under this section.

M.G.L. c. 62C, § 36A Correction of error without application of taxpayer; demand for repayment of erroneous payments made by commissioner

c. 62C, § 36A. Correction of error without application of taxpayer; demand for repayment of erroneous payments made by commissioner Section 36A. If the commissioner determines that any tax has been assessed at an excessive amount because of departmental clerical error or that any payment has been received in error, he may, in his discretion, correct such error at any time and adjust the assessment accordingly or refund the erroneous payment without application of the taxpayer. Interest on any resulting refund shall be paid in accordance with section forty. If the commissioner determines that he has made any payment in error, he shall notify the person to whom payment was made, in writing, making demand for repayment. If within 30 days thereafter the amount demanded is repaid in full, no interest shall be due. If repayment of the full amount demanded is not made within 30 days, the outstanding sum shall, without further action by the commissioner, be considered to be a tax assessed under this chapter as of the date of the demand, and subject to all the provisions thereof.

M.G.L. c. 62C, § 36B Erroneous written advice from department of revenue; waiver of penalty

c. 62C, § 36B. Erroneous written advice from department of revenue; waiver of penalty Section 36B. The commissioner shall waive or abate any portion of any penalty or addition to tax assessed under this chapter attributable to erroneous advice furnished to the taxpayer in writing by an officer or employee of the department of revenue, acting in such officer's or employee's official capacity, provided that (a) the written advice was reasonably relied upon by the taxpayer and was in response to a specific written request of the taxpayer, and (b) the portion of the penalty or addition to tax did not result from a failure by the taxpayer to provide adequate or accurate information.

M.G.L. c. 62C, § 37 Application for abatement; hearing; notice of decision

c. 62C, § 37. Application for abatement; hearing; notice of decision Section 37. Any person aggrieved by the assessment of a tax, other than a tax assessed under chapter 65 or 65A, may apply in writing to the commissioner, on a form approved by the commissioner, for an abatement thereof at any time: (1) within 3 years from the date of filing of the return, taking into account paragraph (a) of section 79; (2) within 2 years from the date the tax was assessed or deemed to be assessed; or (3) within 1 year from the date that the tax was paid, whichever is later; provided, however, that where the commissioner and the taxpayer have agreed to extend the period for assessment of a tax pursuant to section 27, the period for abatement or for abating such tax shall not expire prior to the expiration period within which an assessment may be made pursuant to such agreement or any extension thereof; and provided further that any abatement that would result in a refund of tax, including a credit of such refund against another liability, is subject to section 36 to the extent of such refund or credit. The applicant shall, at the time of filing its abatement application, include and attach to it all supporting information, documents, explanations, arguments and authorities that will reasonably enable the commissioner to determine whether the applicant is entitled to the abatement requested. The applicant shall not be considered to have submitted a completed written abatement application until the date on which all such information reasonably requested from the applicant and reasonably necessary for a decision has been furnished to the commissioner. If the commissioner has made a written request to the applicant for additional information, not then contained in the taxpayer's pending abatement application, and the applicant fails to provide such information within 30 days after such request, or within any extended period allowed by the commissioner, that application shall be considered incomplete and shall be denied without prejudice to its timely renewal. The commissioner shall give such applicant written notice that the denial is based upon the lack of sufficient information to grant the taxpayer's abatement application. In a case in which the commissioner has denied an abatement application based upon incomplete supporting information, no interest under section 40 shall begin to accrue upon any such claim which is appealed to the appellate tax board or to a probate court under section 39 before the date on which a decision on such claim on the merits is rendered by the board or court in favor of the taxpayer. The commissioner shall, if requested, give the applicant a hearing upon his application; and if the commissioner finds that the tax is excessive in amount or illegal, he shall abate the tax, in whole or in part, accordingly. The commissioner shall give notice to the applicant of his decision upon the application. The commissioner shall, if requested, give the applicant a hearing upon his application if the applicant has not already had a pre-assessment hearing under subsection (b) of section 26; unless the applicant first establishes to the satisfaction of the commissioner that a further hearing is necessary either due to the availability of new factual information or new legal precedent not available to the applicant at the time of the conference permitted under said subsection (b) of said section 26; and if the commissioner finds that the tax is excessive in amount or illegal, he shall abate the tax, in whole or in part, accordingly. The commissioner shall give notice to the applicant of his decision upon the application. If such person is an operator as defined in section 1 of chapter 64G, a vendor as defined in section 1 of chapter 64H or section 1 of chapter 64I or a direct broadcast satellite service provider as defined in section 1 of chapter 64M who has collected such tax, no actual refund of money shall be made to such person until he establishes to the satisfaction of the commissioner, under such regulations as the commissioner may prescribe, that he has repaid to the purchaser the amount for which the application for refund is made. In the case of a combined report filed pursuant to section 32B of chapter 63, the principal reporting corporation may act under this section as the agent for any and all corporations that participated in or were required to participate in such filing. In the case of such combined report, the commissioner may offset against an abatement with respect to such corporation, as determined by the commissioner under this section, additional excise that is due or determined to be due under said chapter 63 from any corporation that participated in or was required to participate in the combined report filing, whether that additional excise due may result from the application of the income or non-income measures of the corporate excise or to the minimum excise tax and whether or not the additional tax is based on issues related to the abatement. Offsets based on issues unrelated to the abatement may reduce or eliminate such abatement, but in no case shall such offset give rise to a net amount of tax due where an assessment would otherwise be barred as untimely.

M.G.L. c. 62C, § 37A Settlement of tax liability

c. 62C, § 37A. Settlement of tax liability Section 37A. The commissioner may accept a lesser amount than the tax liability owed by a taxpayer in final and full settlement thereof; provided, however, that the following conditions are met: (a) The commissioner finds that there is serious doubt as to the collectibility of the tax due. (b) The commissioner finds that the taxpayer has not acted with intent to defraud; (c) The settlement is approved by the commissioner and at least two deputy commissioners of the department of revenue; and (d) There is a written agreement, signed by all parties, setting forth the commissioner's reasons for the settlement and all relevant information, including, but not limited to, the names of all parties, the amount and type of tax, interest, penalties and charges settled, and the amount actually paid in accordance with the terms of the settlement. Any amount assessed that is not collected pursuant to the provisions of this section shall be abated by the commissioner. Upon request the commissioner shall make available for public inspection the written agreement containing a settlement pursuant to this section. Notwithstanding any provision of law to the contrary, any tax liability settlement under this section which proposes to accept an amount which is twenty thousand or more dollars less than the full amount of the tax liability owed by the taxpayer or which proposes to accept an amount which is less than fifty per cent of the full amount of the tax liability owed by the taxpayer shall be submitted to the attorney general for review. Any such settlement proposal shall take effect twenty-one days after its receipt by the attorney general, unless the attorney general objects in writing to the settlement. In the event the attorney general objects to a settlement proposal, such settlement shall not take effect until the objection is resolved by the commissioner and the attorney general. Any settlement approved under the terms of this section will not be subject to the confidentiality provisions of section twenty-one of this chapter. Neither the taxpayer nor the commissioner, upon signing the agreement, shall be permitted to reopen the matter which is the subject of such agreement, except by reason of (1) falsification or concealment of assets by the taxpayer, or (2) mutual mistake of a material fact sufficient to cause a contract to be reformed or set aside. The authority granted hereunder to the commissioner and deputy commissioners may not be delegated to other officials of the department. The commissioner shall, as part of his annual report under section six of chapter fourteen, list all settlements entered into pursuant to this section during the fiscal year. Such report shall list the name of each taxpayer agreeing to a settlement and the amount of such settlement.

M.G.L. c. 62C, § 37B Installment payment agreements; modification or termination

c. 62C, § 37B. Installment payment agreements; modification or termination Section 37B. (a) The commissioner is authorized to enter into written agreements with any taxpayer under which such taxpayer is allowed to satisfy liability for payment of any tax in installment payments if the commissioner determines that such agreement will facilitate collection of such liability. Except as otherwise provided in this subsection, any agreement entered into by the commissioner shall remain in effect for the term of the agreement. The commissioner may terminate any agreement entered into by the commissioner if information which the taxpayer provided to the commissioner prior to the date such agreement was entered into was inaccurate or incomplete; or the commissioner believes that collection of any tax to which an agreement under this section relates is in jeopardy. (b) If the commissioner makes a determination that the financial condition of a taxpayer with whom the commissioner entered into an agreement under subsection (a) has significantly changed, the commissioner may alter, modify, or terminate such agreement. Action may be taken by the commissioner hereunder only if (i) notice of such determination is provided to the taxpayer no later than thirty days prior to the date of such action and (ii) such notice includes the reasons why the commissioner believes a significant change in the financial condition of the taxpayer has occurred. (c) The commissioner may alter, modify, or terminate any agreement entered into by the commissioner under subsection (a) in the case of the failure of the taxpayer (i) to pay any installment at the time such installment payment is due under such agreement, (ii) to pay any other tax liability at the time such liability is due, or (iii) to provide a financial condition update as requested by the commissioner.

M.G.L. c. 62C, § 37C Acceptance of amount less than proposed or assessed tax liability in full and final settlement

c. 62C, § 37C. Acceptance of amount less than proposed or assessed tax liability in full and final settlement Section 37C. (a) The commissioner may accept a lesser amount than the proposed or assessed tax liability in full and final settlement thereof; provided, however, that the following conditions are met: (1) The commissioner finds that the settlement is in the best interests of the commonwealth, taking into account potential hazards of litigation and the likelihood of a finding of liability against the taxpayer; and (2) the commissioner and the taxpayer agree in writing to the settlement. (b) After the settlement agreement is signed, neither the taxpayer nor the commissioner shall be permitted to reopen the matter or matters which are the subject of an agreement except by reason of (1) fraud; (2) misrepresentation of a material fact; or (3) mutual mistake of a material fact sufficient to cause a contract to be reformed or set aside. (c) The commissioner shall promulgate rules and regulations to carry out the provisions of this section, which rules and regulations shall include procedures for determining and approving of all settlements; provided, however, that all settlements under this section shall be approved by the commissioner. (d) Any settlement under this section which is entered into after the commissioner has denied or is deemed to have denied an application for abatement filed pursuant to section 37 and which proposes to abate $200,000 or more of the tax, not including interest and penalties, shall be submitted to the attorney general for review. Any such settlement proposal shall take effect 21 days after its receipt by the attorney general, unless the attorney general objects in writing to the settlement. In the event the attorney general objects to the settlement proposal, such settlement shall not take effect until the objection is resolved by the commissioner and the attorney general. (e) Where, under the provisions of this section, an amount less than the amount of the assessed liability is accepted in full and final settlement of said liability, the commissioner shall abate the excess of such liability over the amount accepted in settlement. (f) The commissioner of revenue shall report to the attorney general each settlement which is described in this section and which abates more than $200,000 in tax. The report shall include the identity of the taxpayer, the type and amount of the tax, the amount of interest and penalties, and such other information as is necessary to convey the terms of and reasons for each such settlement. The report shall be prepared on an annual basis and submitted to the attorney general within 60 days of the department of revenue's fiscal year end.

M.G.L. c. 62C, § 38 Prerequisites for abatement

c. 62C, § 38. Prerequisites for abatement Section 38. No tax assessed on any person liable to taxation shall be abated unless the person assessed shall have filed, at or before the time of bringing his application for abatement, a return as required by this chapter for the period to which his application relates; and if he filed a fraudulent return, or having filed an incorrect or insufficient return, has failed, after notice, to file a proper return, the commissioner shall not abate the tax below double the amount for which the person assessed was properly taxable under this chapter.

M.G.L. c. 62C, § 39 Appeal from refusal for abatement

c. 62C, § 39. Appeal from refusal for abatement Section 39. Any person aggrieved by the refusal of the commissioner to abate or to refund any tax, in whole or in part, whether such refusal results from the denial of an abatement application made under section 36 or section 37, may appeal therefrom, within 60 days after the date of notice of the decision of the commissioner or within 6 months after the time when the application for abatement is deemed to be denied as provided in section 6 of chapter 58A, as follows: (a) appeals from the decision of the commissioner as to the value of an asset of the estate for purposes of chapter 65C shall be made by filing a petition with the clerk of the appellate tax board; (b) appeals from the decision of the commissioner as to all other matters arising under chapter 65C shall be made by filing a petition with either the clerk of the appellate tax board or the probate court having jurisdiction of the estate of the decedent; (c) appeals from the commissioner's refusal to abate any other tax or to refund any tax, in whole or in part, whether such refusal results from the denial of an abatement application made under section 36 or section 37, shall be made by filing a petition with the clerk of the appellate tax board. If, on hearing, the board or the court, whichever the case may be, finds that the person making the appeal was entitled to an abatement or a refund, it shall make such abatement or refund as it sees fit. If a tax so abated has been paid, the state treasurer, upon presentation to him of the notice of the decision of the board, or the court, shall repay to the petitioner the amount of the abatement and interest computed in accordance with section 40.

M.G.L. c. 62C, § 40 Refund of overpaid taxes; interest

c. 62C, § 40. Refund of overpaid taxes; interest Section 40. (a) If any refund of any tax, interest or penalties is made pursuant to sections thirty, thirty-one A, thirty-six, thirty-six A, thirty-seven or thirty-nine of this chapter, or sections twenty-seven or twenty-seven A of chapter sixty-five, or section six of chapter sixty-five A, the state treasurer shall repay to the taxpayer the amount of such refund with interest thereon at the rate of the federal short-term rate determined under section 6621(b) of the Internal Revenue Code, as amended and in effect for the taxable year, plus 2 percentage points, computed as simple interest, except as hereinafter provided, from the date of overpayment to a date, to be determined by the commissioner, preceding the date of the refund check by not more than thirty days, whether or not such refund check is accepted by the taxpayer after tender of such to the taxpayer. The acceptance of such check shall be without prejudice to any right of the taxpayer to claim any additional overpayment and interest thereon. For purposes of this section, the term ''date of overpayment'' shall mean the later of the date when the commissioner shall have received a properly completed return and full payment of the tax due thereon, or the date when the commissioner shall have received a completed and substantiated written application for abatement filed in accordance with this chapter, and any supplemental information requested by the department from the taxpayer in support of such application. (b) If an overpayment of tax is refunded within 90 days after the last day prescribed for filing the return of such tax, determined without regard to any extension of time for filing the return, or, in case the return is filed after such last date, is refunded within 90 days after the date the return is filed, no interest shall be allowed hereunder on such overpayment. If any overpayment of tax is not refunded within 90 days after a return is filed where such return is filed after the last day prescribed for filing such return, determined without regard to any extension of time for filing such return, interest shall be allowed hereunder on such overpayment only from the date the return is filed. Where 2 or more corporations elect to file returns on a combined net income basis under section 32B of chapter 63, the return of each such corporation filed under section 11 shall not be considered filed for purposes of this section until all members of the combined group have filed their returns. No interest shall be paid on a refund made pursuant to Article VIII of the Compact on Taxation of Motor Fuels Consumed By Interstate Buses, as appearing in section one of chapter four hundred and sixty-five of the acts of nineteen hundred and sixty-three. No interest shall be paid on a refund of the tax imposed by chapter sixty-four D, or on a refund under sections seven or seven A of chapter sixty-four A, or section five of chapter sixty-four E, or section four of chapter sixty-four F, or section seven A of chapter sixty-four G. For purposes of this section, a return shall not be treated as filed until such return is filed on an approved form and contains: (i) the taxpayers name, address, and identifying number and the required signature, and (ii) sufficient required information to permit the mathematical verification of the tax liability shown on the return as compared with the tax liability shown as a result of any corrections made to the return by the commissioner under subsection (c) of section 26 using any records regarding that liability or the payment thereof which are maintained by the commissioner or which are furnished to the commissioner by any third-party.

M.G.L. c. 62C, § 41 Remedies; restrictions

c. 62C, § 41. Remedies; restrictions Section 41. The remedies provided by section thirty-seven to forty, inclusive, shall be exclusive, whether or not the tax is wholly illegal. But the word ''exclusive'' in this section shall not be construed to deprive any person of a right of action at law in any federal court.

M.G.L. c. 62C, § 42 Abatement of taxes by appellate tax board

c. 62C, § 42. Abatement of taxes by appellate tax board Section 42. Taxes with interest and costs thereon, due to the commonwealth, which are unpaid and uncollectible, may be abated by the appellate tax board on the recommendation of the commissioner at any time after the expiration of two years from the date when the same became payable.

M.G.L. c. 62C, § 43 Unpaid taxes not warranting collection; abatement

c. 62C, § 43. Unpaid taxes not warranting collection; abatement Section 43. The commissioner is authorized to abate the unpaid portion of the assessment of any tax or any liability in respect thereof, if the amount due does not exceed $100 and the commissioner determines, under uniform rules prescribed by him, that the administration and collection costs involved would not warrant collection of the amount due.

M.G.L. c. 62C, § 44 Sale of business; withholdings to cover tax; liability of purchaser; certificate from commissioner

c. 62C, § 44. Sale of business; withholdings to cover tax; liability of purchaser; certificate from commissioner Section 44. (a) If any vendor liable for any amount under chapters sixty-four H or sixty-four I sells out his business or stock of goods or quits the business, his successors or assigns shall withhold a sufficient portion of the purchase price to cover such amount until the former owner produces a certificate from the commissioner showing that it has been paid or that no amount is due. Said certificate shall also indicate that the seller's obligations to the Employment Security Fund pursuant to section fourteen of chapter one hundred and fifty-one A are not included on said certificate. (b) If the purchaser of a business or stock of goods fails to withhold the portion of the purchase price as required by paragraph (a) he shall become personally liable for the payment of the amount required to be withheld by him to the extent of the purchase price valued in money. Within ninety days after receiving a written request from the purchaser for a certificate, the commissioner shall either issue the certificate or mail a notice to the purchaser at his address as it appears on the records of the commissioner of the amount that must be paid as a condition of issuing the certificate. Failure of the commissioner to mail the notice shall release the purchaser from any further obligation to withhold purchase price as above provided. The time within which the obligation of the successor may be enforced shall start to run at the time the vendor sells out his business or stock of goods or at the time the assessment against the vendor becomes final, whichever event occurs later.

M.G.L. c. 62C, § 45 Designation of banks as depository for receiving taxes

c. 62C, § 45. Designation of banks as depository for receiving taxes Section 45. The commissioner is authorized, subject to the approval of the state treasurer, to designate any bank doing business in the commonwealth as a depository and fiscal agent for the purpose of receiving any tax imposed under the provisions of chapters sixty-two to sixty-five C, inclusive, and section twenty-one of chapter one hundred and thirty-eight in such manner, at such times and under such conditions as the commissioner may prescribe. He shall also prescribe which taxpayers or classes of taxpayers must make payments of taxes to designated banks and the method or methods of making such payments. Notwithstanding any provision of section thirty-three A of this chapter, the commissioner shall also so prescribe the manner, times and conditions under which the receipt of any such tax by a designated bank is to be treated as payment of such tax to the commissioner. The designated bank shall transmit to the commissioner the taxes collected by it on his behalf at such times and in such manner as the commissioner may prescribe.

M.G.L. c. 62C, § 45A Quarterly returns; regulations; underpayment

c. 62C, § 45A. Quarterly returns; regulations; underpayment Section 45A. With respect to returns required to be filed under sections ten and sixteen, the commissioner, notwithstanding the due date of the return or payment date as set forth in said section sixteen, may, by regulation, allow such classes of taxpayers as he may determine, in lieu of any requirement of filing returns more frequently than quarterly, to make estimated payments of their tax liability on account of each tax period within the calendar quarter and to file a return for the calendar quarter on or before the date that the return for such calendar quarter or the return for the last calendar month of such quarter would otherwise be due. By regulation, the commissioner shall further provide the manner and conditions under which such returns shall be filed and such tax payments shall be made; shall prescribe additions to tax on account of underpayment of estimated tax similar to those applicable to underpayments of tax under chapter sixty-three B; and may provide that such returns be filed and tax payments be made to a bank designated as a depositary and fiscal agent under section forty-five; provided, however, that payments to such a bank shall not be allowed more often than once per week. The use of a bank for this purpose shall not be considered a violation of the provisions of section twenty-one; provided, however, that all employees of said bank having access to returns or documents to which section twenty-one is applicable shall be subject to the provisions of said section, including the penalties for their violation under subsection (c) of said section. If any person required by this section or section two of chapter sixty-two B or by regulation of the commissioner to deposit or to make payment of tax in advance of the filing of the return with respect to such payment and such person fails to make such deposit or payment on or before the date prescribed therefor, unless it is shown that such failure is due to reasonable cause and not to willful neglect, there shall be imposed upon such person a penalty of five per cent of the amount of the underpayment. For purposes of this paragraph, the term ''underpayment'' means the excess of the amount of the tax required to be so made over the amount, if any, thereof made on or before the date prescribed therefor.

M.G.L. c. 62C, § 45B Declarations of estimated tax and estimated tax payments; filing or payment made to bank designated as depositary and fiscal agent

c. 62C, § 45B. Declarations of estimated tax and estimated tax payments; filing or payment made to bank designated as depositary and fiscal agent Section 45B. With respect to declarations of estimated tax and estimated tax payments required under the provisions of chapters sixty-two B and sixty-three B, the commissioner may, by regulation, provide that such declarations be filed and estimated tax payments be made to a bank designated as a depositary and fiscal agent under section forty-five. The use of a bank for this purpose shall not be considered a violation of the provisions of section twenty-one; provided, however, that all employees of said bank having access to declarations or documents to which section twenty-one is applicable shall be subject to the provisions of said section twenty-one, including the penalties for their violation under subsection (c) of said section twenty-one.

M.G.L. c. 62C, § 46 Powers and remedies of commissioner for collection of taxes; warrant for collection; fees

c. 62C, § 46. Powers and remedies of commissioner for collection of taxes; warrant for collection; fees Section 46. The commissioner shall have for the collection of taxes all the powers and remedies provided by chapter sixty for the collection of taxes on personal estate by collectors of towns. Any warrant for the collection of a tax may be issued to any deputy collector, sheriff, deputy sheriff or constable, and he shall have authority to proceed thereunder anywhere within the commonwealth. The officer, to whom a warrant for the collection of such a tax is given, shall collect said tax and interest as herein provided, including the charges and fees provided in section fifteen of chapter sixty, and shall pay over such amounts collected to the commissioner. Such officer, other than a deputy collector, may collect and receive for his fees the sum which an officer would be entitled by law to receive upon an execution for a like amount.

M.G.L. c. 62C, § 47 Action of contract for unpaid taxes

c. 62C, § 47. Action of contract for unpaid taxes Section 47. The commissioner may recover any unpaid tax in an action of contract brought in the name of the commonwealth.

M.G.L. c. 62C, § 47A Licenses and certificates of authority issued by governmental entities; persons furnishing goods, services or real estate space to governmental entities; lists; determination of unpaid taxes; appeal and hearing

c. 62C, § 47A. Licenses and certificates of authority issued by governmental entities; persons furnishing goods, services or real estate space to governmental entities; lists; determination of unpaid taxes; appeal and hearing Section 47A. (a) Every department, board, commission, division, authority, district or other agency of the commonwealth or any subdivision of the commonwealth, including a city, town or district, issuing or renewing a license or other authority to conduct a profession, trade or business shall annually, on or before February first, furnish to the commissioner, in such form as the commissioner may by regulation determine, a list of all licenses or certificates of authority issued or renewed by such agency during the preceding year. (b) Every department, board, commission, division, authority, district or other agency of the commonwealth or any subdivision of the commonwealth, including a city, town or district to the extent hereinafter provided, shall annually, on or before August first, furnish to the commissioner, in such form as the commissioner may, by regulation, determine, a list of all persons furnishing goods, services, or real estate space to such agency during the preceding fiscal year. The commissioner, in his discretion, may, by regulation, require cities, towns and districts with a population exceeding such level as he may determine, to furnish on an annual basis the information required under this paragraph. (c) The lists provided to the commissioner shall contain the name, address, social security or federal identification number of such licensee or provider, and such other information as the commissioner may by regulation provide. (d) If the commissioner determines from the information furnished pursuant to this section, or otherwise, that any person who holds a license or certificate of authority issued by any such agency or who has agreed to furnish goods, services or real estate space to any such agency has neglected or refused to file any returns or to pay any tax required under this chapter and that such person has not filed in good faith a pending application for abatement of such tax or a pending petition before the appellate tax board contesting such tax or entered a payment agreement with which the taxpayer is fully compliant, or has been penalized pursuant to section 9 of chapter 62E for failure to comply with said chapter 62E relating to reporting of employees and contractors, or has been penalized pursuant to paragraph (3) of subsection (f) of section 12 of chapter 119A for failure to comply with said chapter 119A relating to withholding and remitting child support, the commissioner shall notify such agency and such person in writing. Upon the written request of the commissioner, the agency, department, board, commission, division, authority, district or other agency of the commonwealth, shall promptly revoke or suspend that license or certificate of authority. Any license or certificate of authority suspended or revoked under this section shall not be reissued or renewed until the agency receives a certificate issued by the commissioner that the licensee is in good standing with respect to all returns due and taxes payable to the commissioner as of the date of issuance of the certificate, including all taxes and returns referenced in the initial notification or, if the licensee has been penalized for failure to comply with the provisions relating to reporting of employees and contractors under said chapter 62E or withholding and remitting child support under said chapter 119A, a certificate issued by the commissioner that the licensee is in compliance with those provisions. (e) Where a license revocation, suspension or nonrenewal is based upon nonpayment of an assessed tax administered under this chapter, the licensee's sole right of appeal and to a hearing shall be pursuant to and within the time limitations of this chapter. The commissioner shall give the licensee not less than 30 days notice of any proposed action, during which time the licensee may enter into a payment agreement with the commissioner or may file a good faith abatement application within the time periods determined under section 37. Such an abatement application shall stay a proposed license revocation, suspension, or nonrenewal until the amount of disputed tax due is finally determined. A licensee who is beyond the time limitations in said section 37 but who disputes that he is liable for the assessment and is unable to resolve that issue with the commissioner during the 30–day period may appeal the proposed revocation, suspension or nonrenewal by filing a civil action under section 14 of chapter 30A. The scope of the appeal shall be limited to assertions of mistake or verification of payments made and shall not include determination or redetermination of the proper amount of tax assessed or any other issues appropriately raised through a timely filed abatement under said section 37. Any stay of the proposed revocation, suspension or nonrenewal pending resolution of the appeal shall be within the discretion of the court.

M.G.L. c. 62C, § 47B Driver's license, permit, right to operate or certificate of motor vehicle registration; revocation, suspension or nonrenewal for failure to file return or pay tax; appeal and hearing

c. 62C, § 47B. Driver's license, permit, right to operate or certificate of motor vehicle registration; revocation, suspension or nonrenewal for failure to file return or pay tax; appeal and hearing Section 47B. (a) If the commissioner determines that any person who holds a driver's license, learner's permit, right to operate a motor vehicle or certificate of motor vehicle registration has neglected or refused to file any returns or to pay any tax required under this chapter and that the person has not filed in good faith a pending application for abatement of such tax or a pending petition before the appellate tax board contesting such tax or entered a payment agreement with which the taxpayer is fully compliant, the commissioner shall notify the person in writing and the registry of motor vehicles of that determination. Upon receipt of notice from the commissioner, the registrar shall promptly suspend or revoke, or prohibit issuance or renewal, of the license, learner's permit, right to operate a motor vehicle or certificate of motor vehicle registration of the taxpayer. A license, learner's permit, right to operate a motor vehicle or certificate of motor vehicle registration suspended or revoked under this section shall not be issued, reissued or renewed until the registry receives a certificate from the commissioner stating that the taxpayer is in good standing with respect to all returns due and taxes payable to the commissioner as of the date of issuance of the certificate, including all taxes and returns referenced in the initial notice. (b) Where a revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration is based upon nonpayment of an assessed tax administered under this chapter, the sole right of appeal and to a hearing shall be pursuant to and within the time limitations of this chapter and not pursuant to chapter 30A. The commissioner shall give the taxpayer not less than 30 days notice of any such proposed action, during which time the taxpayer may enter into a payment agreement with the commissioner or file a good faith abatement application within the time periods determined under section 37. Filing of an abatement application shall stay the proposed revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration until the amount of disputed tax due is finally determined. The taxpayer subject to a proposed revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration, who is beyond the time limitations in said section 37 but who disputes that he is liable for the assessment and is unable to resolve that issue with the commissioner during the 30–day period, may appeal the proposed revocation, suspension or nonrenewal by filing a civil action as provided in section 14 of chapter 30A. The scope of the appeal shall be limited to assertions of mistake or verification of payments made and shall not include determination or redetermination of the proper amount of tax assessed or any other issues appropriately raised through a timely-filed abatement under said section 37. Any stay of the proposed revocation, suspension or nonrenewal pending resolution of an appeal shall be within the discretion of the court.

M.G.L. c. 62C, § 48 Liability of lessee for tax due from lessor

c. 62C, § 48. Liability of lessee for tax due from lessor Section 48. The lessee of real estate or tangible personal property of any corporation, company or association subject to taxation under chapter sixty-three shall also be liable for the payment of the tax due from the lessor under chapter sixty-three. Upon such payment, the lessee may, in the absence of an agreement to the contrary, retain it out of the rent of the property, or recover it in an action against the lessor.

M.G.L. c. 62C, § 49 Information for collection of taxes; injunction

c. 62C, § 49. Information for collection of taxes; injunction Section 49. Taxes due from a company, association or corporation may be collected by an information brought in the supreme judicial court by the attorney general at the relation of the commissioner. The court may issue an injunction upon such information, restraining the further prosecution of the business of the company, association or corporation until such taxes, with interest and costs thereon, have been paid and until the returns required by this chapter have been filed.

M.G.L. c. 62C, § 49A Certification of compliance with tax laws as prerequisite to obtaining license or governmental contract; confirmation of good tax standing; improper registration of motor vehicle in another state; misrepresentation on documents for purpose of evading payment of tax; appeal and hearing

c. 62C, § 49A. Certification of compliance with tax laws as prerequisite to obtaining license or governmental contract; confirmation of good tax standing; improper registration of motor vehicle in another state; misrepresentation on documents for purpose of evading payment of tax; appeal and hearing Section 49A. (a) A person applying to any department, board, commission, division, authority, district or other agency of the commonwealth or a subdivision of the commonwealth, including a city, town or district, for a right or license to conduct a profession, trade or business or for the renewal of the right or license, shall certify upon application, under penalties of perjury, that he has complied with all laws of the commonwealth relating to taxes, reporting of employees and contractors, and withholding and remitting of child support. (b) Upon receipt of the application, and once the commissioner has promulgated applicable regulations and implemented to his satisfaction the manner and method, including electronic data matching, by which verification may be obtained, the department or other entity charged with issuing the right or license shall confirm that the applicant is in good standing with respect to all returns due and taxes payable to the commissioner as of the date of issuance of the confirmation. An applicant shall be considered to have consented to the commissioner's release of tax and child support data to the department or other entity to the extent necessary to confirm the applicant's adherence to the tax and child support laws of the commonwealth. A right or license shall not be issued or renewed unless the issuer has confirmed the tax or child support status of the applicant as required herein; but, the commissioner may issue waivers of the requirements of this subsection for reasonable cause, and the existence of a non-frivolous appeal of a tax or child support assessment, or of a payment agreement with which the taxpayer is fully compliant shall not prevent issuance of the license. No contract or other agreement for the purposes of providing goods, services or real estate space to any of the foregoing agencies shall be entered into, renewed or extended with any person unless the person certifies in writing, under penalties of perjury, that he has complied with all laws of the commonwealth relating to taxes, reporting of employees and contractors, and withholding and remitting of child support and, subject to the conditions stated above, the contracting agency confirms with the commissioner that the person is in good standing with respect to all returns due and taxes payable to the commissioner as of the date of confirmation. (c) Any such agency, which has been notified by the commissioner pursuant to section forty-seven A that a person who holds a license or certificate of authority issued by such agency or who has agreed to furnish goods, services or real estate space to such agency has neglected or refused to file any returns or to pay any tax required under this chapter and that such person has not filed in good faith a pending application for abatement of such tax or a pending petition before the appellate tax board contesting such tax or has been penalized pursuant to section 9 of chapter 62E for failure to comply with the provisions under said chapter 62E relating to reporting of employees and contractors, or has been penalized pursuant to paragraph (3) of subsection (f) of section 12 of chapter 119A for failure to comply with the provisions under said chapter 119A relating to withholding and remitting child support, shall refuse to reissue, renew or extend such license, certificate of authority, contract or agreement until the agency receives a certificate issued by the commissioner that the person is in good standing with respect to any and all returns due and taxes payable to the commissioner as of the date of issuance of said certificate, including all returns and taxes referenced in the initial notification or, if the licensee has been penalized for failure to comply with the provisions relating to reporting of employees and contractors under chapter 62E or withholding and remitting child support under chapter 119A, a certificate issued by the commissioner that the licensee is in compliance with said provisions. (d) Any person who owns or leases a motor vehicle or trailer that is required to be registered in the commonwealth under chapter 90 and improperly registers the motor vehicle or trailer in another state or misrepresents the place of garaging of the motor vehicle or trailer in another city or town, shall be considered in violation of laws of the commonwealth relating to taxes under chapter 60A, chapter 64H or chapter 64I. The right, license or contract provided for in subsections (a) and (b) shall not be issued or renewed until the person or business entity has paid all taxes due at the time of application for such right, license or contract. (e) Any person who, for the purpose of evading payment of a tax pursuant to chapters 59 to 64J, inclusive, willfully makes and subscribes any return, form, statement or other document pursuant to subsection (a), (b) or (d) that contains or is verified by a written declaration that is made under the penalties of perjury, and that contains information that he does not believe to be true and correct as to every matter material to his compliance with all laws of the commonwealth relating to taxes, shall be subject to section 73. (f) Where the revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration is based upon nonpayment of an assessed tax administered under this chapter, the sole right of appeal and to a hearing shall be pursuant to and within the time limitations of this chapter. The commissioner shall give the taxpayer not less than 30 days notice of any proposed action, during which the taxpayer may enter into a payment agreement with the commissioner or file a good faith abatement application within the time periods determined under section 37. The filing of an abatement application shall stay the proposed revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration until the amount of disputed tax due is finally determined. The taxpayer subject to a proposed revocation, suspension or nonrenewal of a license, permit, right to operate or certificate of motor vehicle registration, who is beyond the time limitations in said section 37 but who disputes that he is liable for the assessment and is unable to resolve that issue with the commissioner during the 30–day period, may appeal the proposed revocation, suspension or nonrenewal by filing a civil action as provided in section 14 of chapter 30A. The scope of the appeal shall be limited to assertions of mistake or verification of payments made and shall not include determination or redetermination of the proper amount of tax assessed or any other issues appropriately raised through a timely-filed abatement under said section 37. Any stay of the proposed revocation, suspension or nonrenewal pending resolution of this appeal shall be within the discretion of the court.

M.G.L. c. 62C, § 50 Liens upon property for nonpayment of taxes

c. 62C, § 50. Liens upon property for nonpayment of taxes Section 50. (a) If any person liable to pay any tax neglects or refuses to pay the same after demand, the amount, including any interest, additional amount, addition to tax, assessable penalty or forfeiture, together with any costs that may accrue in addition thereto, shall be a lien in favor of the commonwealth upon all property and rights to property, whether real or personal, belonging to such person. The lien shall also extend to property or rights to property of a trust with respect to tax amounts due from a grantor or other person treated as the owner of a portion of such trust by reason of sections 671–678 of the Code, and to property or rights to property of a disregarded entity with regard to tax amounts due from the owner of the entity, but with respect to real property and fixtures, the lien shall not be valid against a mortgagee, pledge, purchaser or judgment creditor unless the notice to be recorded pursuant to paragraph (1) of subsection (b) includes therein the names of the persons in whom the record title to the real property or fixtures stands at the time of recording the notice. The lien shall arise at the time the assessment is made or deemed to be made and shall continue until: (1) the liability for the amount assessed or deemed to be assessed is satisfied; (2) a judgment against the taxpayer arising out of such liability is satisfied; or (3) any such liability or judgment becomes unenforceable by reason of the lapse of time within the meaning of section 6322 of the Code. The lien created in favor of the commonwealth for any unpaid tax shall remain in full force and effect for: (i) a period of 10 years after the date of assessment, deemed assessment or self-assessment of the tax; or (ii) for such longer period of time as permitted by section 6322 of the Code, in effect and as amended from time to time, and as construed or interpreted either by the regulations or other authorities promulgated under said section 6322 of the Code by the Internal Revenue Service or by any federal court or United States Tax Court decision. If, by operation of said section 6322 of the Code, a tax lien in favor of the commonwealth would extend beyond its initial or any subsequent 10–year period, the commissioner shall be authorized to refile his notice of lien. If any such refiled lien is filed within the ''required refiling period'', as that term is defined in section 6323(g)(3) of the Code, the lien in favor of the commonwealth shall relate back to the date of the first such lien filing. Otherwise, any such refiled lien shall be effective from the date of its filing. The commissioner of revenue shall promulgate such rulings and regulations as may be necessary for the implementation of this subsection. (b) The lien imposed by this section shall not be valid as against any mortgagee, pledgee, purchaser or judgment creditor until notice thereof has been filed by the commissioner: (1) With respect to real property or fixtures, in the registry of deeds of the county where such property is situated, and (2) With respect to personal property other than fixtures, in the filing office in which the filing of a financing statement would perfect, under Article 9 of chapter 106, an attached nonpossessory security interest in tangible personal property belonging to the person liable to pay the tax as if the person were located in the commonwealth under section 9–307 of said chapter 106. The filing of a notice of any such lien or of a waiver or release of any such lien shall be received and registered or recorded without payment of any fee. (c) Even though notice of a lien provided in this section has been filed in the manner prescribed in subsection (b), the lien shall not be valid with respect to a security, as hereinafter defined, as against any mortgagee, pledgee or purchaser of such security, for an adequate and full consideration in money or money's worth, if at the time of such mortgage, pledge or purchase such mortgagee, pledgee, or purchaser is without notice or knowledge of the existence of such lien. As used in this subsection, the term ''security'' means any bond, debenture, note or certificate or other evidence of indebtedness issued by any corporation, including one issued by a governmental or political subdivision thereof, with interest coupons or in registered form, share of stock, voting trust certificate, or any certificate of interest or participation in, certificate of deposit or receipt for, temporary or interim certificate for, warrant or right to subscribe to or purchase, any of the foregoing; negotiable instrument; or money. (d) If notice of a lien has been filed under subsection (b), the commissioner may provide by regulation the extent to which, and the conditions under which, information as to the amount of the outstanding obligation secured by such lien may be disclosed. (e) In any case where there has been a refusal or neglect to pay any tax, or to discharge any liability in respect thereof, whether or not levy has been made, the commissioner, in addition to other modes of relief, may direct a civil action to be filed in a district or superior court of the commonwealth to enforce the lien of the commonwealth under this section with respect to such tax or liability or to subject any property of whatever nature, of the delinquent, or in which he has any right, title or interest, to the payment of such tax or liability. (f) The commissioner may issue a waiver or release of any lien imposed by this section. Such waiver or release shall be conclusive evidence that the lien upon the property covered by the waiver or release is extinguished.

M.G.L. c. 62C, § 51 Sale or transfer of corporate assets; procedure

c. 62C, § 51. Sale or transfer of corporate assets; procedure Section 51. At least five days prior to the sale or transfer, otherwise than in the ordinary course of business, of all or substantially all of the assets situated in the commonwealth of a business corporation as defined in section 30 of chapter 63, except in cases where a waiver shall be given as hereinafter provided, the corporation or any person in interest shall notify the commissioner in writing of the proposed sale or transfer, and of the price, terms and conditions thereof, and of the character and location of the assets and cause to be filed with the commissioner all such tax returns as may be necessary to determine the taxes due and to become due and payable to the commonwealth to and including the date of such sale or transfer, and shall pay to the commonwealth all such taxes owing to said date of sale or transfer. At the time of any such sale or transfer, except in cases where a waiver shall have been given such taxes shall thereupon become due and payable. In the event of a failure to notify the commissioner and so to file such return or returns and pay such taxes at or before the time of such sale or transfer, the commonwealth shall have for its exclusive benefit a lien upon all of the assets of the corporation in the commonwealth effective immediately prior to such sale or transfer to the extent necessary to satisfy said taxes. Said lien shall terminate not later than three years after the date of said sale or transfer and until such termination may be enforced under and in accordance with the provisions of chapter two hundred and fifty-four in the case of real estate and sections fifty-three to sixty-four of this chapter in the case of personal property, but the ten-day notice provided in said section fifty-three shall not be applicable to this section. Prior to and after the date of such sale or transfer, the commissioner may waive such lien and any or all of the other requirements of this section. Such waiver shall be in writing and shall constitute final and conclusive evidence as to any person other than the corporation that said lien has not arisen or has terminated, and it may be recorded with the appropriate register of deeds or city or town clerk as the case may be, and the said register, city or town clerk shall receive the same upon the payment of the fee prescribed by law. This section shall not apply to sales or transfers by receivers, assignees under a voluntary assignment for the benefit of creditors, trustees in bankruptcy, or public officers acting under judicial process. This section shall apply to transfers hereafter made as security for the performance of an obligation which is not incurred in good faith by the corporation for the purposes of its business but otherwise shall not apply to transfers by way of security.

M.G.L. c. 62C, § 52 Waiver of lien; certificate showing good standing; fees

c. 62C, § 52. Waiver of lien; certificate showing good standing; fees Section 52. The commissioner is hereby authorized to issue to any corporation, upon written request of its treasurer or other principal officer, a waiver of the lien under section fifty-one or a certificate evidencing that such corporation is in good standing with respect to any and all returns due and taxes payable to the commissioner as of the date of issuance of said certificate. There shall be charged and collected a fee for each such waiver or certificate issued and a fee for each duplicate copy thereof. The commissioner of administration shall annually determine the fee under the provision of section three B of chapter seven.

M.G.L. c. 62C, § 53 Levy upon property for payment of tax

c. 62C, § 53. Levy upon property for payment of tax Section 53. (a) If any person liable to pay any tax neglects or refuses to pay the same within ten days after demand, it shall be lawful for the commissioner to collect such tax, and such further sum as shall be sufficient to cover the expenses of the levy, by levy upon all property and rights to property belonging to such person or on which there is a lien provided in this chapter or in chapter sixty-five or sixty-five C for the payment of such tax including, without limitation, any periodic or lump sum payments from any state or local agency or authority, including unemployment compensation and other benefits not otherwise exempt, judgments, settlements and lottery winnings. If the commissioner makes a finding that the collection of such tax is in jeopardy, notice and demand for immediate payment of such tax may be made by the commissioner and, upon failure or refusal to pay such tax, collection thereof by levy shall be lawful without regard to the ten-day period provided in this section. (b) The term ''levy'' as used in this chapter includes the power of distraint and seizure by any means. A levy shall extend only to property possessed and obligations existing at the time thereof. In any case in which the commissioner may levy upon property or rights to property, he may seize and sell such property or rights to property, whether real or personal, tangible or intangible. (c) Whenever any property or right to property upon which levy has been made by virtue of subsection (a) is not sufficient to satisfy the claim of the commonwealth for which levy is made, the commissioner may, thereafter, and as often as may be necessary, proceed to levy in like manner upon any other property liable to levy of the person against whom such claim exists, until the amount due from him, together with all expenses, is fully paid. (d) The effect of a levy on salary or wages payable to or received by a taxpayer shall be continuous from the date such levy is first made until the liability out of which such levy arose is satisfied or becomes unenforceable by reason of lapse of time. The effect of a levy on any other property or rights to property shall remain in effect for six months from the date such levy is first made until the liability out of which such levy arose is satisfied or becomes unenforceable by reason of lapse of time. With respect to a levy described in this subsection, the commissioner shall promptly release the levy when the liability out of which such levy arose is satisfied or becomes unenforceable by reason of lapse of time, and shall promptly notify the person upon whom such levy was made that such levy has been released. (e) With respect to a levy on securities or a levy on shares of a mutual fund other than a money market mutual fund, the person or entity may sell or repurchase such securities or shares in the ordinary and usual course of investing, but may not receive funds resulting from such sale, for a time period of up to 45 days. If, during such time period, the commissioner has not rescinded the levy, extended the time period or notified the person or entity in possession of such securities or shares to remit funds, at the end of such time period such person shall forthwith liquidate sufficient securities or shares to satisfy the full amount of the lien and remit the liquidated funds to the commissioner.

M.G.L. c. 62C, § 54 Surrender of property or discharge of obligation; exceptions; personal liability; penalty

c. 62C, § 54. Surrender of property or discharge of obligation; exceptions; personal liability; penalty Section 54. (a) Except as otherwise provided in subsection (b), any person in possession of, or obligated with respect to, property or rights to property subject to levy upon which a levy has been made shall, upon demand of the commissioner, surrender such property or rights, or discharge such obligation, to the commissioner, except such part of the property or rights as is, at the time of such demand, subject to an attachment or execution under any judicial process. (b)(1) A levy on an organization with respect to a life insurance or endowment contract issued by such organization shall, without necessity for the surrender of the contract document, constitute a demand by the commissioner for payment of the amount described in paragraph (2) and the exercise of the right of the person against whom the tax is assessed to the advance of such amount. Such organization shall pay over such amount ninety days after service of notice of levy. Such notice shall include a certification by the commissioner that a copy of such notice has been mailed to the person against whom the tax is assessed at his last known address. (2) Such levy shall be deemed to be satisfied if such organization pays over to the commissioner the amount which the person against whom the tax is assessed could have had advanced to him by such organization on the date prescribed in paragraph (1) for the satisfaction of such levy, increased by the amount of any advance, including contractual interest, thereon, made to such person on or after the date such organization had actual notice or knowledge of the existence of the lien with respect to which such levy is made, other than an advance, including contractual interest thereon, made automatically to maintain such contract in force under an agreement entered into before such organization had such notice or knowledge. (3) The satisfaction of a levy under paragraph (2) shall be without prejudice to any civil action for the enforcement of any lien imposed by section fifty with respect to such contract. (c)(1) Any person who fails or refuses to surrender any property or rights to property, subject to levy, upon demand by the commissioner, shall be liable in his own person and estate to the commonwealth in a sum equal to the value of the property or rights not so surrendered, but not exceeding the amount of taxes for the collection of which such levy has been made, together with costs and interests on such sum at the rate of eight per cent per annum from the date of such levy. Any amount, other than costs, recovered under this paragraph shall be credited against the tax liability for the collection of which such levy was made. (2) In addition to the personal liability imposed by paragraph (1), if any person required to surrender property or rights to property fails or refuses to surrender such property or rights to property without reasonable cause, such person shall be liable for a penalty equal to fifty per cent of the amount recoverable under paragraph (1). No part of such penalty shall be credited against the tax liability for the collection of which such levy was made. (d) Any person in possession of, or obligated with respect to, property or rights to property subject to levy upon which a levy has been made, who, upon demand by the commissioner, surrenders such property or rights to property, or discharges such obligation, to the commissioner, or who pays a liability under paragraph (1) of subsection (c) shall be discharged from any obligation or liability to the delinquent taxpayer with respect to such property or rights to property arising from such surrender or payment. In the case of a levy which is satisfied pursuant to subsection (b), such organization shall also be discharged from any obligation or liability to any beneficiary arising from such surrender or payment. (e) The commissioner may, in his discretion, reimburse a taxpayer for any fee or similar amount charged to the taxpayer by a bank or financial institution where such fee or charge proximately resulted from the commissioner's improper or erroneous service of a notice of lien or levy on such bank or financial institution.

M.G.L. c. 62C, § 55 Books or records relating to property subject to levy

c. 62C, § 55. Books or records relating to property subject to levy Section 55. If a levy has been made or is about to be made on any property, or right to property, any person having custody or control of any books or records, containing evidence or statements relating to the property, or right to property subject to levy, shall, upon demand of the commissioner, exhibit such books or records to the commissioner.

M.G.L. c. 62C, § 55A Exempt property

c. 62C, § 55A. Exempt property Section 55A. (a) There shall be exempt from levy the following property:— (1) Such items of wearing apparel and such school books as are necessary for the taxpayer or for the members of his family. (2) If the taxpayer is the head of a family, so much of the fuel, provisions, furniture and personal effects in his household, and of the arms for personal use, livestock, and poultry of the taxpayer, as does not exceed fifteen hundred dollars in value. (3) So many of the books and tools necessary for the trade, business or profession of the taxpayer as do not exceed in the aggregate one thousand dollars in value. (4) Any amount payable to an individual with respect to his unemployment, including any portion thereof payable with respect to dependents, under an unemployment compensation law of the United States, or of any state. (5) Mail, addressed to any person, which has not been delivered to the addressee. (6) Annuity or pension payments under the Railroad Retirement Act, benefits under the Railroad Unemployment Insurance Act, special pension payments received by a person whose name has been entered on the Army, Navy, Air Force and Coast Guard Medal of Honor Roll 38 USC 562, and annuities based on retired or retainer pay under chapter seventy-three of title ten of the United States Code. (7) Any amount payable to an individual as workers' compensation, including any portion thereof payable with respect to dependents, under a workers' compensation law of the United States, or of any state. (8) If the taxpayer is required by judgment of a court of competent jurisdiction, entered prior to the date of levy, to contribute to the support of his minor children, so much of his salary, wages, or other income as is necessary to comply with such judgment. (9) Any amount payable to or received by an individual as wages or salary for personal services, or as income derived from other sources, during any period, to the extent that the total of such amounts payable to or received by him during such period does not exceed the applicable exempt amount determined under subsection (d). (b) The officer seizing property of the type described in subsection (a) shall appraise and set aside to the owner the amount of such property declared to be exempt. If the taxpayer objects at the time of the seizure to the valuation fixed by the officer making the seizure, the commissioner shall summon three disinterested individuals who shall make the valuation. (c) Notwithstanding any other law, no property or rights to property shall be exempt from levy other than the property specifically made exempt by subsection (a). (d)(1) In the case of an individual who is paid or receives all of his wages, salary, and other income on a weekly basis, the amount of the wages, salary, and other income payable to or received by him during any week which is exempt from levy under paragraph (9) of subsection (a) shall be: (A) Seventy-five dollars, plus (B) Twenty-five dollars for each individual who is specified in a written statement which is submitted to the person on whom notice of levy is served and which is verified in such manner as the commissioner shall prescribe by regulations and: (i) over half of whose support for the payroll period was received from the taxpayer, (ii) who is the spouse of the taxpayer, or who bears a relationship to the taxpayer specified in paragraphs (1) to (9), inclusive, of section 152(a) of the Code, relating to definition of dependents, and (iii) who is not a minor child of the taxpayer with respect to whom amounts are exempt from levy under paragraph (8) of subsection (a) for the payroll period. For purposes of clause (ii) of subparagraph (B) of the preceding sentence, ''payroll period'' shall be substituted for ''taxable year'' each place it appears in paragraph (9) of section 152(a) of the Code. (2) In the case of any individual not described in paragraph (1), the amount of the wages, salary, and other income payable to or received by him during any applicable pay period or other fiscal period, as determined under regulations prescribed by the commissioner, which is exempt from levy under paragraph (9) of subsection (a) shall be an amount, determined under such regulations, which as nearly as possible will result in the same total exemption from levy for such individual over a period of time as he would have under paragraph (1) of said subsection (a) if, during such period of time, he were paid or received such wages, salary, and other income on a regular weekly basis.

M.G.L. c. 62C, § 56 Seizure of property; notice; sale

c. 62C, § 56. Seizure of property; notice; sale Section 56. (a) As soon as practicable after seizure of property, notice in writing shall be given by the commissioner to the owner of the property, or, in the case of personal property, the possessor thereof, or shall be left at his usual place of abode or business, if he has such within the commonwealth. If the owner cannot be readily located, or has no dwelling or place of business within the commonwealth, the notice may be mailed to his last known address. Such notice shall specify the sum demanded and shall contain, in the case of personal property, an account of the property seized and, in the case of real property, a description with reasonable certainty of the property seized. (b) The commissioner shall as soon as practicable after the seizure of the property give notice to the owner, in the manner prescribed in subsection (a), and shall cause a notification to be published in some newspaper published or generally circulated within the county wherein such seizure is made, or, if there be no newspaper published or generally circulated in such county, shall post such notice at the city or town hall nearest the place where the seizure is made, and in not less than two other public places. Such notice shall specify the property to be sold and the time, place, manner and conditions of the sale thereof. Whenever levy is made without regard to the ten-day period provided in section fifty-three, public notice of sale of the property seized shall not be made within such ten-day period unless section fifty-seven is applicable. (c) If any property liable to levy is not divisible, so as to enable the commissioner by sale of a part thereof to raise the whole amount of the tax and expenses, the whole of such property shall be sold. (d) The time of sale shall be not less than ten days nor more than forty days from the time of giving public notice under subsection (b). The sale may be adjourned from time to time but such adjournments shall not be for a period to exceed in all one month. (e)(1) Before the sale the commissioner shall determine a minimum price for which the property shall be sold, and if no person offers for such property at the sale the amount of the minimum price, the property shall be declared to be purchased at such price for the commonwealth; otherwise the property shall be declared to be sold to the highest bidder. In determining the minimum price, the commissioner shall take into account the expense of making the levy and sale. (2) The commissioner may by regulations prescribe the manner and other conditions of the sale of property seized by levy. (3) If payment in full is required at the time of acceptance of a bid and is not then and there paid, the commissioner shall forthwith proceed to again sell the property in the manner provided in this subsection. If the conditions of the sale permit part of the payment to be deferred, and if such part is not paid within the prescribed period, suit may be instituted against the purchaser for the purchase price or such part thereof as has not been paid, together with interest at the rate of eight per cent per annum from the date of the sale; or, in the discretion of the commissioner, the sale may be declared by the commissioner to be null and void for failure to make full payment of the purchase price and the property may again be advertised and sold as provided in subsections (b) and (c) and this subsection. In the event of such readvertisement and sale any new purchaser shall receive such property, or rights to property, free and clear of any claim or right to the former defaulting purchaser, of any nature whatsoever, and the amount paid upon the bid price by such defaulting purchaser shall be forfeited.

M.G.L. c. 62C, § 57 Disposition of hard to keep property; notice to owner; public sale

c. 62C, § 57. Disposition of hard to keep property; notice to owner; public sale Section 57. If the commissioner determines that any property seized is liable to perish or become greatly reduced in price or value by keeping, or that such property cannot be kept without great expense, he shall appraise the value of such property and, if the owner of the property can be readily found, shall give him notice of such determination of the appraised value of the property. The property shall be returned to the owner if, within such time as may be specified in the notice, the owner either pays to the commissioner an amount equal to the appraised value, or gives bond in such form, with such sureties, and in such amount as the commissioner shall prescribe, to pay the appraised amount at such time as the commissioner determines to be appropriate in the circumstances. If the owner does not pay such amount or furnish such bond in accordance with this section, the commissioner shall as soon as practicable make public sale of the property in accordance with such regulations as may be prescribed by him.

M.G.L. c. 62C, § 58 Redemption of property

c. 62C, § 58. Redemption of property Section 58. (a) Any person whose property has been levied upon shall have the right to pay the amount due, together with the expenses of the proceeding, if any, to the commissioner at any time prior to the sale thereof, and upon such payment the commissioner shall restore such property to him, and all further proceedings in connection with the levy of such property shall cease from the time of such payment. (b)(1) The owners of any real property sold as provided in section fifty-six their heirs, executors, or administrators, or any person having any interest therein, or a lien thereon, or any person in their behalf, shall be permitted to redeem the property sold, or any particular tract of such property, at any time within one hundred and eighty days after the sale thereof. (2) Such property or tract of property shall be permitted to be redeemed upon payment to the purchaser, or in case he cannot be found in the county in which the property to be redeemed is situated, then to the commissioner for the use of the purchaser, his heirs, or assigns, the amount paid by such purchaser and interest thereon at the rate of twenty per cent per annum. (c) When any lands sold are redeemed as provided in this section, the commissioner shall cause entry of the fact to be made upon record mentioned in section sixty-one and such entry shall be evidence of such redemption.

M.G.L. c. 62C, § 59 Certificates of sale; execution of deeds

c. 62C, § 59. Certificates of sale; execution of deeds Section 59. (a) In the case of property sold as provided in section fifty-six the commissioner shall give the purchaser a certificate of sale upon payment in full of the purchase price. In the case of real property, such certificate shall set forth the real property purchased, for whose taxes the same was sold, the name of the purchaser and the price paid therefor. (b) In the case of any real property sold as provided in section fifty-six and not redeemed in the manner and within the time provided in section fifty-eight, the commissioner shall execute to the purchaser of such real property at such sale, upon his surrender of the certificate of sale, a deed of the real property so purchased by him, reciting the facts set forth in the certificate. (c) If real property is declared purchased by the commonwealth at a sale pursuant to section fifty-six the commissioner shall at the proper time execute a deed therefor, and without delay cause such deed to be duly recorded in the proper registry of deeds.

M.G.L. c. 62C, § 60 Effect of certificates of sale and deeds

c. 62C, § 60. Effect of certificates of sale and deeds Section 60. (a) In all cases of sale pursuant to section fifty-six of property, other than real property, the certificate of such sale— (1) Shall be prima facie evidence of the right of the commissioner to make such sale and conclusive evidence of the regularity of his proceedings in making the sale; and (2) Shall transfer to the purchaser all right, title and interest of the party delinquent in and to the property sold; and (3) If such property consists of stocks, shall be notice, when received, to any corporation, company or association of such transfer, and shall be authority to such corporation, company or association to record the transfer on its books and records, in the same manner as if the stocks were transferred or assigned by the party holding the same, in lieu of any original or prior certificate, which shall be void, whether canceled or not; and (4) If the subject of sale is securities or other evidences of debt, shall be a good and valid receipt to the person holding the same, as against any person holding or claiming to hold possession of such securities or other evidences of debt; and (5) If such property consists of a motor vehicle, shall be notice, when received, to the registrar of motor vehicles of the commonwealth, or to any public official charged with the registration of title to motor vehicles in any other state, of such transfer and shall be authority to the registrar or to such official to record the transfer on his books and records in the same manner as if the certificate of title to such motor vehicle were transferred or assigned by the party holding the same, in lieu of any original or prior certificate, which shall be void, whether canceled or not. (b) In the case of the sale of real property pursuant to section fifty-six the deed of sale given pursuant to section fifty-nine shall be prima facie evidence of the facts therein stated; and if the proceedings of the commissioner as set forth have been substantially in accordance with the provisions of law, such deed shall be considered and operate as a conveyance of all the right, title and interest the party delinquent had in and to the real property thus sold at the time the lien of the commonwealth attached thereto. (c) A certificate of sale of personal property given or a deed to real property executed pursuant to section fifty-nine shall discharge such property from all liens, encumbrances and title over which the lien of the commonwealth with respect to which the levy was made had priority.

M.G.L. c. 62C, § 61 Record of sales and redemptions of real property

c. 62C, § 61. Record of sales and redemptions of real property Section 61. The commissioner shall keep a record of all sales of real property under section fifty-six and of all redemptions of such property. The record shall set forth the tax for which any such sale was made, the dates of seizure and sale, the name of the party assessed and all proceedings in making such sale, the amount of expenses, the names of the purchasers and the date of the deed. A copy of such record, or any part thereof, certified by the commissioner shall be the evidence in any court of the truth of the facts therein stated.

M.G.L. c. 62C, § 62 Expenses of levy and sale

c. 62C, § 62. Expenses of levy and sale Section 62. The commissioner shall determine the expenses to be allowed in all cases of levy and sale.

M.G.L. c. 62C, § 63 Disposition of money realized under Secs. 53 through 64

c. 62C, § 63. Disposition of money realized under Secs. 53 through 64 Section 63. Any money realized by proceedings under sections fifty-three through sixty-four whether by seizure, by surrender under section fifty-four except pursuant to paragraph (2) of subsection (c) thereof, or by sale of seized property, or by sale of property redeemed by the commonwealth shall be applied as follows:— First, against the expenses of the proceedings; The amount, if any, remaining after payment of such expenses shall be applied against the liability in respect of which the levy was made or the sale was conducted. Any surplus proceeds remaining thereafter shall, upon application and satisfactory proof in support thereof, be credited or refunded by the commissioner to the person or persons legally entitled thereto.

M.G.L. c. 62C, § 64 Release of levy; return of wrongfully levied property

c. 62C, § 64. Release of levy; return of wrongfully levied property Section 64. (a) It shall be lawful for the commissioner, under regulations prescribed by him, to release the levy upon all or part of the property or rights to property levied upon where he determines that such action will facilitate the collection of the liability, but such release shall not operate to prevent any subsequent levy. (b) If the commissioner determines that property has been wrongfully levied upon, it shall be lawful for the commissioner to return (1) The specific property levied upon, (2) An amount of money equal to the amount of money levied upon, or (3) An amount of money equal to the amount of money received by the commonwealth from a sale of such property. Property may be returned at any time. An amount equal to the amount of money levied upon or received from such sale may be returned at any time before the expiration of nine months from the date of such levy. For purposes of clause (3), if property is declared purchased by the commonwealth at a sale pursuant to subsection (e) of section fifty-six relating to manner and conditions of sale, the commonwealth shall be treated as having received an amount of money equal to the minimum price determined pursuant to such section or, if larger, the amount received by the commonwealth from the resale of such property. For purposes of clauses (2) and (3), the commissioner shall certify the amount of such money to the state treasurer, who shall pay it forthwith without specific appropriation, from the proceeds of the tax to which such money was originally credited.

M.G.L. c. 62C, § 65 Time for collection of taxes; bankruptcy cases

c. 62C, § 65. Time for collection of taxes; bankruptcy cases Section 65. Taxes shall be collected: (i) within 10 years after the assessment of the tax; (ii) within any further period after that 10–year period during which the taxes remain unpaid but only against any real or personal property of the taxpayer to which a tax lien has attached and for which a notice of lien has been filed or recorded under section 50 in favor of the commonwealth in accordance with applicable state or federal law within 10 years after the assessment of the tax; (iii) before the expiration of any period of collection agreed upon in writing by the commissioner and the taxpayer before the expiration of that 10–year period; or (iv) if there is a release of levy under section 64 after that 10–year period, then before that release. The period so agreed upon may be extended by subsequent agreements in writing made before the expiration of the period previously agreed upon. When any question relative to such taxes is pending before any agency or court at the end of that 10–year period, the commissioner's right to collect any tax due shall continue until 1 year after the final determination of that question. For bankruptcy cases under relevant chapters of Title 11 of the United States Code, the running of the period of limitations in this section on collections shall be suspended for the period during which the commissioner is prohibited by reason of such case from collecting the tax, and for the period during which a plan for payment of the tax is in effect, and for six months thereafter. The running of the period of limitations in this section on collections shall be suspended for the period during which the payment or collection of the tax is stayed pursuant to subsection (e) of section 32.

M.G.L. c. 62C, § 66 Bonds of licensees and registrants subject to chapters 64A to 64C, 64E to 64J or 64M

c. 62C, § 66. Bonds of licensees and registrants subject to chapters 64A to 64C, 64E to 64J or 64M Section 66. The commissioner may require a person required to be licensed or registered under chapters 64A to 64C, inclusive, chapters 64E to 64J, inclusive, or chapter 64M or subject to taxation under section 21 of chapter 138, to file with him a bond, satisfactory to the commissioner, in such amount as the commissioner may determine, with a surety company authorized to transact business in the commonwealth as surety, to secure the payment of any tax, including any interest and penalties thereon, due or which may become due from such person under said chapters; provided, however, that the amount of such bond required from a vendor under chapter 64H or 64I shall not exceed the amount which the commissioner shall determine to be such vendor's average tax liability for a 6–month period. In lieu of a surety bond a licensee or registrant may deposit with the state treasurer bonds or other negotiable obligations of the commonwealth or of the United States of such aggregate face amount as the commissioner may from time to time deem necessary adequately to secure payment of the taxes, including any interest or penalty thereon, imposed under said chapters; provided, that bonds need not be accepted by the state treasurer unless in registered form and of denominations satisfactory to him. In case of such deposit of bonds or other negotiable obligations, the state treasurer shall, while in possession thereof, remit to such person as aforesaid, or persons entitled thereto, the interest accruing and payable thereon; and, if the taxes imposed under said chapters and all interest and penalties shall be paid in full and if the person is no longer a licensee or registrant under said chapters, the state treasurer shall return such bonds or obligations to the persons entitled thereto. If the tax together with all interest and penalties shall not be paid, the state treasurer may sell all or any part of such bonds or obligations to satisfy the amount due the commonwealth and shall return to the persons entitled thereto any excess left in his hands, provided, however, that the person is no longer a licensee or registrant under said chapters.

M.G.L. c. 62C, § 67 Licenses and registration certificates of taxpayers under chapters 64A, 64C, 64E to 64J or 64M

c. 62C, § 67. Licenses and registration certificates of taxpayers under chapters 64A, 64C, 64E to 64J or 64M Section 67. Each vendor as defined in chapter 64H or 64I and each operator as defined in chapter 64G who desires to obtain a certificate of registration as required by said chapters 64G, 64H or 64I and each person who desires to obtain a license as a distributor, unclassified importer or unclassified exporter as defined in chapter 64A, as a manufacturer, wholesaler, vending machine operator, unclassified acquirer, transportation company, retailer, electronic nicotine delivery system distributor or electronic nicotine delivery system retailer, cigar distributor or cigar retailer as defined in chapter 64C, as a user-seller, supplier or user of special fuels as defined in chapter 64E, as a motor carrier as defined in chapter 64F, as a user-seller or supplier of aircraft fuel as defined in chapter 64J or as a direct broadcast satellite service provider as defined in chapter 64M shall file with the commissioner an application in such form as the commissioner prescribes, giving such information as the commissioner requires; provided, however, if the application is for a wholesaler's license as defined in said chapter 64C, the commissioner shall require, in addition to such other information as may be deemed necessary, the filing of affidavits from 3 licensed manufacturers as defined in said chapter 64C, stating that the manufacturer will supply the wholesaler if the applicant is granted a license. In the instance of an application for a license as a manufacturer, wholesaler, vending machine operator, unclassified acquirer, transportation company, retailer, electronic nicotine delivery system distributor or electronic nicotine delivery system retailer, cigar distributor or cigar retailer, as defined in chapter sixty-four C, the commissioner shall investigate the prior activities of the applicant. If the commissioner determines that said applicant has been convicted of any violation of the provisions of chapter sixty-four C or any other pertinent violation of law, he may deny the application; provided, however, that the commissioner shall grant or deny a license to said applicant within ninety days from the date of application; and provided further, that if the commissioner fails to act within such time period, the application shall be deemed denied. All licenses, other than licenses for retailers, electronic nicotine delivery system retailers and cigar retailers as defined in chapter 64C, shall expire annually on a date prescribed by the commissioner. Licenses for retailers, electronic nicotine delivery system retailers and cigar retailers shall expire every other year on a date prescribed by the commissioner. The commissioner may provide for combined forms of licenses and license applications. Registration certificates may be issued for a specified term of not less than three years, subject to renewal without the payment of any additional fee and in accordance with regulations issued by the commissioner. Whether or not such certificates are issued for a specified term, they shall be subject to suspension or revocation as provided in this section. Existing registration certificates may be made subject to renewal or reissuance for a specified term in accordance with regulations issued by the commissioner. Registration certificates shall be issued for each place of business. Licenses for said manufacturers, wholesalers, vending machine operators, unclassified acquirers, retailers, electronic nicotine delivery system distributors, electronic nicotine delivery system retailers, cigar distributors and cigar retailers shall be issued for each place of business. Licenses for users of special fuels shall be issued for each vehicle propelled by special fuels. In addition to the license issued to a motor carrier, licenses shall be issued for each motor vehicle which the motor carrier desires to operate or cause to be operated upon the highways of the commonwealth which is propelled by fuel or special fuels purchased or acquired outside the commonwealth. The fee for each registration shall be determined annually by the commissioner of administration under the provision of section three B of chapter seven. The secretary of administration and finance shall annually determine the fees for licenses and renewals thereof under section 3B of chapter 7 in the following categories: distributors; unclassified importers; unclassified exporters; manufacturers; wholesalers; vending machine operators; unclassified acquirers; transportation companies; retailers; electronic nicotine delivery system distributors; electronic nicotine delivery system retailers; cigar distributors; cigar retailers; user–sellers; suppliers; users of special fuels; and motor carriers or their vehicles; provided, however, that in case of a manufacturer, wholesaler, electronic nicotine delivery system distributor, cigar distributor or vending machine operator who maintains more than 1 place of business, the fee for each additional place of business shall be one-half of the above determined fee. No fee or part thereof, shall be refunded by reason of relinquishment, suspension or revocation of a license. In the event that the holder of a license, or registration certificate removes his business to another location within the commonwealth, the license or registration certificate with respect to the former place of business shall, without the payment of an additional fee, be reissued for the new location for the balance of the unexpired term. Registrations and licenses shall not be assignable and shall be displayed conspicuously by the holder thereof in the manner prescribed by the commissioner. As a condition precedent to granting a license to a distributor, unclassified importer, or unclassified exporter the commissioner shall require the applicant to furnish a bond pursuant to section sixty-six. An application for a registration or license may be denied by the commissioner for any one of the following reasons: (1) The registration, license or permit of the applicant has been previously cancelled for cause by the commissioner; (2) In the opinion of the commissioner, such application is filed by a person as a subterfuge for the real person in interest whose registration or license has previously been cancelled for cause by the commissioner; (3) The applicant fails to pay the prescribed fee or to file such bond as the commissioner requires pursuant to section sixty-six; (4) Any tax payable under this chapter has been finally determined to be due from the applicant and has not been paid in full; (5) Any tax payable under this chapter has been finally determined to be due from an officer, director, partner or employee of the applicant in his capacity as a person under a duty to collect and pay over a tax on behalf of the applicant or another person and has not been paid in full; (6) The applicant has been convicted of a crime provided for in this chapter within one year from the date on which such application is filed; (7) An officer, director, partner or employee of the applicant, which officer, director, partner or employee is a person under a duty to collect and pay over a tax on behalf of the applicant has in his capacity as a person under a duty to collect and pay over a tax on behalf of the applicant or another person been convicted of a crime provided for in this chapter within one year from the date on which such application is filed; or (8) A shareholder owning more than fifty per cent of the voting stock of the applicant where the applicant is a corporation who owned more than fifty per cent of the voting stock of another corporation at the time any tax payable under this chapter has been finally determined to be due and where such tax has not been paid in full, or at the time such other person was convicted of a crime provided for in this chapter within one year from the date on which such application is filed. Any person aggrieved by the refusal of the commissioner to grant a registration or license may within sixty days of the date of notice of such refusal appeal to the appellate tax board, whose decision shall be final.

M.G.L. c. 62C, § 67A Shows; registration certificates

c. 62C, § 67A. Shows; registration certificates Section 67A. (a) Every promoter of a show within the commonwealth shall, at least ten days prior to the opening of such show, file with the commissioner, in such form as the said commissioner may prescribe, a notice stating the location and dates of such show. (b) The commissioner shall, within five days after the receipt of any such notice, issue to the promoter, without charge, a registration certificate to operate such show, except as hereinafter provided. No promoter shall rent, lease or grant a license to use space for a show or operate a show without obtaining such registration certificate. Such registration certificate shall be prominently displayed at the main entrance to the show. If a notice required under this section has been filed, and if a registration certificate has not been received by the promoter prior to the opening of the show, the requirements contained in this section with respect to obtaining and displaying such a registration shall be deemed to have been complied with. A promoter shall have a right to a hearing before the commissioner to contest any notice of denial by the commissioner of such registration certificate. (c) Any promoter who is a vendor under the provisions of chapter sixty-four H shall comply with all the provisions of said chapter sixty-four H applicable to vendors and with all of the provisions of this chapter relating to promoters. (d) A promoter shall not permit any person to display for sale or to sell tangible personal property subject to tax under chapter sixty-four H at a show unless such person is registered under section sixty-seven as a vendor and displays his certificate of registration in accordance with the provisions of said section. (e) Any promoter who fails to file a notice of a show, operates a show without a registration certificate, fails to file a report of a show, files a report which is wilfully false, or fails to comply with any provision contained in this chapter or any regulation promulgated by the commissioner pertaining to shows shall, after hearing, be subject to the revocation of all existing registration certificates issued, pursuant to this section. The commissioner may, after such hearing, issue an order denying such promoter a registration certificate to operate a show for a period of not more than six months from the date of such order. Such penalty shall be in addition to any other penalty imposed by this chapter.

M.G.L. c. 62C, § 67B Reciprocal agreements with other states for payment of sales and use taxes

c. 62C, § 67B. Reciprocal agreements with other states for payment of sales and use taxes Section 67B. The commissioner may enter into reciprocal agreements with appropriate officials of any other state for the purpose of encouraging vendors in such states to collect and pay over Massachusetts sales and use taxes under chapters sixty-four H and sixty-four I; and, as part of such agreements, the commissioner may waive all or any part of the possible liabilities of such out-of-state vendors for prior periods under said chapters so long as they agree prospectively to collect and pay over Massachusetts sales and use taxes. Any such agreement with such other state is conditional upon such state granting equivalent waivers to vendors located in the commonwealth who do business in such other state.

M.G.L. c. 62C, § 67C Revision of procedures for issuance, acceptance and recognition of sales and use tax certificates

c. 62C, § 67C. Revision of procedures for issuance, acceptance and recognition of sales and use tax certificates Section 67C. If the commissioner determines that significant tax evasion is attributable to the improper use of sales or use tax resale, exemption, exempt use and other types of certificates issued under chapters sixty-four H and sixty-four I, he is authorized to revise the procedures for the issuance, acceptance and recognition of such certificates. He may, in his discretion, prohibit the use of blanket certificates, require such certificates to contain additional or more specific information relating to the sale or use, or require the periodic transmittal of copies of such certificates, or a summary thereof, to him as part of the return otherwise due from the vendor.

M.G.L. c. 62C, § 67D Biotechnology or medical device manufacturing companies; jobs incentive payment

c. 62C, § 67D. Biotechnology or medical device manufacturing companies; jobs incentive payment [Text of section applicable as provided by 2003, 141, Sec. 78.] Section 67D. (a) When used in this section, the following words shall have the following meaning: ''Application year'', the calendar year for which a biotechnology or medical device manufacturing or marine science technology company submits the information required for a determination as to a jobs incentive payment. ''Biotechnology company'', a business primarily engaged in the research, development, production or provision of biotechnology for the purpose of developing or providing products or processes for specific commercial or public purposes including, but not limited to, medical, pharmaceutical, nutritional and other health-related purposes or a person engaged in providing services or products necessary for such research, development, production or provision. This term shall include contract manufacturers engaged in the production of biotechnology products for a biotechnology company or a medical device manufacturing or marine science technology company. ''Business'', a corporation, sole proprietorship, partnership, limited liability company or any other form of business organization. ''Commissioner'', the commissioner of revenue. ''Eligible Jobs'', a number determined by first multiplying each of the local jobs created by a biotechnology or medical device manufacturing company during a single calendar year by the job qualifier for that job, and then totaling the number for all of the local jobs created. ''Full time employee'', a person who is employed for consideration for at least 35 hours per week and whose salary is subject to withholding as provided in chapter 62B. ''Job qualifier fraction'', in the case of either a full-time employee or a part-time employee of a biotechnology or medical device manufacturing or marine science technology company, the figure that determines the extent to which that employee is employed in the commonwealth during a single calendar year. The job qualifier fraction for each employer shall be determined by multiplying the following percentages together: (i) the percentage of time that an employee worked while employed by the company expressed as average hours worked per week out of 35 hours, not to exceed 100 per cent; (ii) that employee's time attributable to work in the commonwealth, as a portion of that employee's total work for the company; and (iii) the portion of the year the employee worked for the company. ''Jobs incentive payment'', a business employment incentive payment for biotechnology or medical device manufacturing or marine science technology companies as provided for in this section. ''Local jobs created'', the total number of jobs created by a biotechnology or medical device manufacturing or marine science technology company during a single calendar year in which the new employees perform qualified services at least 1 in-state location, including jobs performed by persons that are transferred within the company to work at an in-state location from a location based outside the state. ''Marine science technology company,'' a business engaged in research, exploration, operations, monitoring, or defense in marine settings. This term shall include contract manufacturers engaged in the production of these products for a marine science technology company. ''Medical device manufacturing company'', a business primarily engaged in manufacturing medical or surgical instruments, surgical appliances or supplies or electromedical, electrotherapeutic or irradiation apparatus. This term shall include contract manufacturers engaged in the production of such products for a medical device manufacturing company or a biotechnology company. ''Part-time employee'', a person who is employed for consideration for less than 35 hours a week and whose salary is subject to withholding as provided in chapter 62B. ''Payment years'', in the case of a biotechnology or medical device manufacturing or marine science technology company that is determined to be eligible for a jobs incentive payment, the 3 calendar years following the application year. ''Qualified services'', direct production manufacturing services performed by an employee of a biotechnology or medical device manufacturing company during a calendar year that consist primarily of at least 1 of the following services: medicinal and botanical manufacturing, pharmaceutical and preparation manufacturing, in vitro diagnostic substance manufacturing, biological product, except diagnostic, manufacturing, surgical and medical instrument manufacturing, electromedical and electrotherapeutic apparatus manufacturing, surgical appliance and supplies manufacturings and irradiation apparatus manufacturing. These services are as referenced in the federal NAICS Codes for biotechnology manufacturing, numbers 325411–325414, 339112, 314510, 339113 and 334517, respectively or direct manufacturing or professional services performed by an employee of a marine science technology company during a calendar year that consists of research, exploration, operations, monitoring, or defense in a marine setting. ''Weighted, average employment'', for a calendar year, the total number of jobs maintained by a biotechnology or medical device manufacturing or marine science technology company in which the employees performed employment services at at least 1 in-state location. The number is to be determined by first multiplying each of the individual jobs maintained by the company for that year by the job qualifier fraction for that job and then totaling the number for all of these jobs. (b) A biotechnology or medical device manufacturing or marine science technology company that creates 10 or more eligible jobs in the commonwealth during a single calendar year shall be entitled to a jobs incentive payment if its weighted average employment for such year reflects a net increase of at least 10 jobs over the company's weighted average employment for the prior calendar year. The jobs incentive payment shall be equal to 50 per cent of the amount paid by the company as salary attributable to eligible jobs created by the company in such year to the extent that the salary was subject to Massachusetts withholding pursuant to chapter 62B for such year, multiplied by the applicable Massachusetts income tax rate for such salary. For the purposes of this provision, an eligible job shall be deemed created in the commonwealth on the first day for which Massachusetts withholding is required in connection with the compensation paid to the employee. (c) The jobs incentive payment shall be paid to a biotechnology or medical device manufacturing or marine science technology company in 3 equal installments in each of the 3 calendar years commencing with the calendar year subsequent to the application year. If, for the first or second payment year, the company's weighted average employment falls below its weighted average for the application year, the company shall be disqualified from receiving its second installment payment, it may still receive its third installment payment if its weighted average employment for its second payment year is above its weighted average employment for the application year. (d) A biotechnology or medical device manufacturing or marine science technology company that seeks a jobs incentive payment shall apply to the commissioner to receive such payment on a form to be prescribed by the commissioner. This form shall reference the necessary information concerning the eligible jobs created by the company in the Commonwealth during the application year and also the company's weighted average employment for such year and the prior calendar year. The commissioner shall advise the company of his determination in writing. (e) Not later than March 1 of each calendar year for which a biotechnology or medical device manufacturing or marine science technology company has been approved to receive a jobs incentive payment, the company shall submit to the commissioner, in a form prescribed by the commissioner, the information necessary to evaluate the company's prior year weighted employment average. (f) A biotechnology or medical device manufacturing or marine science technology company that has previously been approved to receive a jobs incentive payment is entitled to re-apply for an additional payment for a second or third application year. In such cases, the company may be entitled to receive a jobs incentive payment that relates to different application years in the same calendar year. When a company has previously been granted a jobs incentive payment for 3 application years, it shall not request an additional jobs incentive payment. (g) The commissioner shall issue payments, as authorized in subsection (b), without further appropriation. The commissioner may issue rules and regulations as necessary or helpful to implement this section, including rules and regulations to ensure compliance with this section.

M.G.L. c. 62C, § 68 Suspension or revocation of license or registration; appeal; reissuance of registration

c. 62C, § 68. Suspension or revocation of license or registration; appeal; reissuance of registration Section 68. The commissioner may suspend or revoke any license or registration issued pursuant to section sixty-seven for any one of the following reasons:— (1) The licensee or registrant willfully fails to file any return or report required by this chapter; (2) The licensee or registrant willfully files, causes to be filed, gives or causes to be given a return, report, certificate or affidavit required under this chapter, or under the provisions of the applicable tax, which is false; (3) The licensee or registrant willfully fails to collect, truthfully account for or pay over any tax under the provisions of this chapter; (4) The licensee or registrant has been convicted of a crime provided for by this chapter; (5) The licensee or registrant has otherwise willfully failed to comply with any provision of the tax laws of the commonwealth or regulations thereunder; or (6) The licensee or registrant has ceased to act in the capacity for which the license or registration was issued. Any person aggrieved by such suspension or revocation may appeal therefrom to the appellate tax board within ten days after written notice of the decision has been mailed or delivered to him. The appellant shall at the time of taking an appeal file with said board a surety company bond running to the commonwealth, with a surety company authorized to do business in the commonwealth as surety, in such sum as said board shall fix, conditioned to prosecute the appeal to effect and to comply with the orders and decrees of said board in the premises. Such appeals shall be preferred cases to be heard, unless cause appears to the contrary, in priority to other cases. During the pendency of any such appeal the decision of the commissioner so appealed from shall, unless otherwise ordered by said board, be inoperative. Said board may grant such relief as may be equitable. If the appeal shall have been taken without probable cause, the board may tax double or triple costs, as the case shall demand; and, upon all such appeals which may be denied, costs may be taxed against the appellant at the discretion of the board; provided, that no costs shall be taxed against the commonwealth. A person whose registration has been suspended or revoked shall pay to the commissioner a fee of twenty dollars for the reissuance of a registration. The commissioner shall not issue a new registration after the suspension or revocation of a registration unless he is satisfied that the former holder of the registration will comply with the provisions of this chapter and with all pertinent rules and regulations made thereunder. The commissioner shall provide notice to the director of the state lottery of a retailer, as defined in section 1 of chapter 64C, an electronic nicotine delivery system retailer, as defined in subsection (a) of section 7E of said chapter 64C, or a cigar retailer, as defined in subsection (a) of section 7B of said chapter 64C, whose license, issued under section 67, has been suspended or revoked by the department for a willful violation of paragraph (1) of subsection (l) of said section 7B of said chapter 64C, paragraph (1) of subsection (l) of section 7E of said chapter 64C, or sections 34 or 35 of said chapter 64C and who is a licensee authorized to sell lottery tickets under sections 26 and 27 of chapter 10.

M.G.L. c. 62C, § 69 Destruction of certain copies, returns, statements or documents

c. 62C, § 69. Destruction of certain copies, returns, statements or documents Section 69. The commissioner may, after the lapse of three years from the date of their receipt, or three years after the end of the taxable period to which they relate, whichever occurs earlier, destroy copies, returns and statements made under sections eighty-three and eighty-six of chapter fifty-nine and any returns and documents filed with him for the purposes of taxation; provided however, that such copies, returns, statements or documents may be destroyed at any time if microfilm or other copies thereof are retained.

M.G.L. c. 62C, § 70 Testimony and proofs under oath taken by commissioner; witnesses; production of books, paper, etc.

c. 62C, § 70. Testimony and proofs under oath taken by commissioner; witnesses; production of books, paper, etc. Section 70. The commissioner may take testimony and proofs under oath with reference to any matter within the official purview of the department of revenue, and in connection therewith may issue summonses and require the attendance and testimony of witnesses and the production of books, papers, records, and other data. Such summonses shall be served in the same manner as summonses for witnesses in criminal cases issued on behalf of the commonwealth, and all provisions of law relative to summonses in such cases shall, so far as applicable, apply to summonses issued hereunder. Any justice of the supreme judicial court or of the superior court may, upon the application of the commissioner, compel the attendance of witnesses, the production of books, papers, records, and other data, and the giving of testimony before the commissioner in the same manner and to the same extent as before the said courts.

M.G.L. c. 62C, § 71 Notice under this chapter

c. 62C, § 71. Notice under this chapter Section 71. Any notice authorized or required under the provisions of this chapter may be served personally or may be given by mailing the same, postage prepaid, to the person for whom it is intended, addressed to such person at his address as it appears in the records of the commissioner or may be given as the parties otherwise agree, such as by sending electronic notification as provided in chapter 110G.

M.G.L. c. 62C, § 72 Person defined

c. 62C, § 72. Person defined Section 72. The term ''person'', as used in section seventy-three, shall include, but not be limited to, an officer or employee of a corporation, a member, officer or employee of a partnership, or a trustee, officer or employee of a corporate trust who as such officer, employee, member or trustee is under a duty either to perform or to refrain from performing the act with respect to which the violation occurs. Sections seventy-three and seventy-seven shall apply to persons, as herein defined, acting in any fiduciary capacity.

M.G.L. c. 62C, § 73 Tax evasion, failure to collect or pay tax, keep records or supply information; penalties

c. 62C, § 73. Tax evasion, failure to collect or pay tax, keep records or supply information; penalties Section 73. (a) Any person who willfully attempts in any manner to evade or defeat any tax imposed by this chapter or the statutes referred to in section two or the payment thereof shall, in addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof, shall be fined not more than one hundred thousand dollars or five hundred thousand dollars in the case of a corporation, or by imprisonment for not more than five years, or both, and shall be required to pay the costs of prosecution. (b) Any person required under this chapter or the statutes referred to in section two to collect, account for, and pay over any tax to the commissioner who willfully fails to collect or truthfully account for and pay over such tax shall, in addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof, shall be fined not more than ten thousand dollars, or by imprisonment for not more than five years, or both, and shall be required to pay the costs of prosecution. (c) Any person required under this chapter or the statutes referred to in section two or by regulations made under authority thereof to pay any estimated tax or tax, make a return, keep records, or supply any information, who willfully fails to pay such estimated tax or tax, make such return, keep such records, or supply such information, at the time or times required by law or regulations, shall, in addition to other penalties provided by law, be guilty of a misdemeanor and shall be fined not more than twenty-five thousand dollars or one hundred thousand dollars in the case of a corporation, or by imprisonment for not more than one year, or both, and shall be required to pay the costs of prosecution. In the case of any person with respect to whom there is a failure to pay any estimated tax, this section shall not apply to such person with respect to such failure if there is not addition to tax under chapter sixty-two B or sixty-three B with respect to such failure. (d) In lieu of any other penalty provided by law, except the penalty provided by section eleven A of chapter sixty-two B, any person required under the provisions of section five of chapter sixty-two B to furnish a statement who willfully furnishes a false or fraudulent statement or who willfully fails to furnish a statement in the manner, at the time, and showing the information required under said section five, or regulations prescribed thereunder, shall, for each offense, be guilty of a misdemeanor and shall be fined not more than one thousand dollars, or by imprisonment for not more than one year, or both. (e) In lieu of any other penalty provided by law, except the penalty provided by section eleven A of chapter sixty-two B, any individual required to supply information to his employer under section four of chapter sixty-two B who willfully supplies false or fraudulent information, or who willfully fails to supply information thereunder that would require an increase in the tax to be withheld under section two of chapter sixty-two B, shall be guilty of a misdemeanor and shall be fined not more than one thousand dollars, or by imprisonment for not more than one year, or both. (f) Any person who:— (1) Willfully makes and subscribes any return, statement, or other document, that contains or is verified by a written declaration that is made under the penalties of perjury, and that he does not believe to be true and correct as to every material matter; or (2) Willfully aids or assists in, or procures, counsels, or advises the preparation or presentation under, or in connection with any matter arising under this chapter or the statutes referred to in section two of this chapter, of a return, affidavit, claim, or other document, which is fraudulent or is false as to any material matter, whether or not such falsity or fraud is with the knowledge and consent of the person authorized or required to present such return, affidavit, claim or document; or (3) Willfully simulates or falsely or fraudulently executes or signs any bond, permit or other document required by this chapter or the statutes referred to in section two of this chapter, or by any regulation made in pursuance thereof, or willfully procures the same to be falsely or fraudulently executed or advises, aids in, or connives at such execution thereof; or (4) Willfully removes, deposits, or conceals, or is concerned with removing, depositing, or concealing, any goods or commodities for or in respect whereof any tax is or shall be imposed, or any property upon which levy is authorized by section fifty-three, with intent to evade or defeat the assessment or collection of any tax; or (5) Any person who, in connection with the preparation of a tax return for another, the filing of a tax return or the payment of any tax, receives money from such other person on the understanding that it is to be paid over to the commissioner to discharge, in whole or in part, such other person's tax liability and willfully fails to pay over the same to the commissioner, shall be guilty of a felony and, upon conviction thereof, shall be fined not more than one hundred thousand dollars or five hundred thousand dollars in the case of a corporation or by imprisonment for not more than three years, or both, together with the costs of prosecution. (g) Any person who willfully delivers or discloses to the commissioner any list, return, account, statement, or other document, known by him to be fraudulent or to be false as to any material matter, shall be fined not more than ten thousand dollars or fifty thousand dollars in the case of a corporation, or by imprisonment for not more than one year, or both. (h) Whoever willfully corrupts or by force or threats of force, including any threatening letter or communication, endeavors to intimidate or impede an officer or employee of the commonwealth acting in an official capacity under this chapter, or in any other way corrupts or by force or threats of force, including any threatening letter or communication, obstructs or impedes, or endeavors to obstruct or impede, the due administration of this chapter, shall upon conviction thereof, be fined not more than five thousand dollars, or imprisoned not more than three years, or both, except that if the offense is committed only by threats of force, the person convicted thereof shall be fined not more than three thousand dollars or imprisoned not more than one year, or both. The term ''threats of force'', as used in this subsection, means threats of bodily harm to the officer or employee of the commonwealth or to a member of his family. (i) Any person who, for the purpose of evading payment of sales or use tax, willfully gives to another a certificate under the provisions of chapter sixty-four H or sixty-four I known by him to be fraudulent or false as to any material matter shall be fined not more than ten thousand dollars or imprisoned for not more than one year, or both; provided that any corporation which commits such offense shall be punished by a fine of not more than fifty thousand dollars.

M.G.L. c. 62C, § 74 Disclosure of information by tax preparer

c. 62C, § 74. Disclosure of information by tax preparer Section 74. No person engaged in the business of preparing tax returns shall disclose any information obtained in the conduct of such business, unless such disclosure is consented to in writing by the taxpayer in a separate document, or is expressly authorized by state or federal law, or is necessary to the preparation of the return, or is made pursuant to court order. For the purposes of this section, a person is engaged in the business of preparing tax returns if he advertises, or gives publicity to the effect that he prepares or assists others in the preparation of tax returns, or if he prepares or assists others in the preparation of tax returns for compensation. Whoever violates the provisions of this section shall be punished by a fine of not more than five hundred dollars or by imprisonment in jail for not more than six months, or both.

M.G.L. c. 62C, § 75 False statements by taxpayers subject to Secs. 11 and 30; liability; penalty

c. 62C, § 75. False statements by taxpayers subject to Secs. 11 and 30; liability; penalty Section 75. If any return required by sections eleven or thirty contains a false statement which is known or, by the exercise of reasonable care might have been known to the officer making it to be false, such officer and the corporation shall be liable for the amount of tax thereby lost to the commonwealth, and in addition shall be punished by a fine of not less than five hundred nor more than five thousand dollars.

M.G.L. c. 62C, § 76 Failure to possess license or registration as required by Secs. 67 and 67A; penalty

c. 62C, § 76. Failure to possess license or registration as required by Secs. 67 and 67A; penalty Section 76. Any person who conducts any business in the commonwealth for which a registration or license issued pursuant to section sixty-seven or sixty-seven A is required and who is not in possession of such registration or license shall be punished by a fine of not less than two hundred dollars nor more than five hundred dollars. The superior court may on petition of the commissioner restrain such person from doing business in the commonwealth without such registration or license.

M.G.L. c. 62C, § 77 Failure to file return, list or report, or information required by Sec. 8; penalty

c. 62C, § 77. Failure to file return, list or report, or information required by Sec. 8; penalty Section 77. Any individual, partnership, association, trust, corporate trust or corporation failing without reasonable excuse to file a return, list or report, or otherwise give information, as required by section eight, shall be punished by a fine of not less than twenty-five nor more than five hundred dollars.

M.G.L. c. 62C, § 79 Time; filing returns; payments

c. 62C, § 79. Time; filing returns; payments Section 79. For purposes of this chapter: (a) Any return filed before the last day prescribed for the filing thereof shall be considered as filed on such last day; payment of any portion of a tax made before the last day prescribed for the payment of the tax shall be considered made on such last day. As used in this subsection, the last day prescribed for filing the return or paying the tax shall be determined without regard to any extension of time granted the taxpayer and without regard to any election to pay the tax in installments. (b) Any tax deducted and withheld at the source during any calendar year under chapter sixty-two B shall, in respect of the recipient of the income, be deemed to have been paid by him on the fifteenth day of the fourth month following the close of his taxable year with respect to which such tax is allowable as a credit under chapter sixty-two. (c) Any amount paid as estimated tax for any taxable year under chapter sixty-two B or sixty-three B shall be deemed to have been paid on the last day prescribed for filing the return for such taxable year, determined without regard to any extension of time for filing such return. (d) If any overpayment of tax is claimed as a credit against estimated tax for the succeeding taxable year, such amount shall be considered as a payment of tax for the succeeding taxable year, whether or not claimed as a credit in the return of estimated tax for such succeeding taxable year, and no claim for credit or refund of such overpayment shall be allowed for the taxable year in which the overpayment arises.

M.G.L. c. 62C, § 80 In-person interviews with taxpayers; explanations

c. 62C, § 80. In-person interviews with taxpayers; explanations Section 80. (a) An officer or employee of the department of revenue shall before or at an initial interview provide to the taxpayer: (i) in the case of an in-person interview with the taxpayer relating to the determination of any tax, an explanation of the audit process and the taxpayer's rights under such process; or (ii) in the case of an in-person interview with the taxpayer relating to the collection of any tax, an explanation of the collection process and the taxpayer's rights under such process. (b) If the taxpayer clearly states to an officer or employee of the department of revenue at any time during any interview, other than an interview initiated by an administrative summons issued under section seventy, that the taxpayer wishes to consult with an attorney, certified public accountant, enrolled agent, enrolled actuary, or any other person permitted to represent the taxpayer, such officer or employee shall suspend such interview regardless of whether the taxpayer may have answered one or more questions. (c) Any attorney, certified public accountant, enrolled agent, enrolled actuary, or any other person permitted to represent the taxpayer and who has a written power of attorney executed by the taxpayer may be authorized by such taxpayer to represent the taxpayer in any in-person interview with any taxpayer relating to the determination or collection of any tax. An officer or employee of the department of revenue may not require a taxpayer to accompany the representative in the absence of an administrative summons issued to the taxpayer under section seventy. Such an officer or employee, with the consent of the immediate supervisor of such officer or employee, may notify the taxpayer directly that such officer or employee believes such representative is responsible for unreasonable delay or hindrance of an examination or investigation of the taxpayer. (d) This section shall not apply to criminal investigations or investigations relating to the integrity of an officer or employee of the department of revenue.

M.G.L. c. 62C, § 81 Armed forces personnel; extended deadline

c. 62C, § 81. Armed forces personnel; extended deadline Section 81. (a) In the case of an individual serving in the Armed Forces of the United States, or serving in support of such Armed Forces, in an area designated by the President of the United States by Executive Order as a ''combat zone'' for purposes of section one hundred and twelve of the Code, at any time during the period designated by the President by Executive Order as the period of combatant activities in such zone for purposes of such section, or hospitalized as a result of injury received while serving in such area during such time, the period of service of such area, plus the period of continuous qualified hospitalization attributable to such injury, and in all cases under this section, the next one hundred and eighty days thereafter, shall be disregarded in determining, under the laws of the commonwealth, in respect of any tax liability, including any interest, penalty, additional amount, or addition to the tax of such individual:— (1) Whether any of the following acts was performed within the time prescribed therefor:— (A) filing any returns of income or estate tax, except income tax withheld at source; (B) payment of any income or estate tax, except income tax withheld at source, or any installment thereof or of any other liability to the commonwealth in respect thereof; (C) filing an application for abatement of any tax under section thirty-seven; (D) filing a petition for abatement with the appellate tax board or probate court under section thirty-nine; (E) allowance of a credit or refund of any tax; (F) bringing suit upon any claim for credit or refund of any tax; (G) assessment of any tax; (H) giving or making any notice or demand for the payment of any tax, or with respect to any liability to the commonwealth in respect of any tax; (I) collection, by the commissioner, by levy or otherwise, of the amount of any liability in respect of any tax; (J) bringing suit by the commonwealth, or any officer on its behalf, in respect of any liability in respect of any tax; and (K) any other act required or permitted under the laws of the commonwealth specified in regulations prescribed under this section by the commissioner. (2) The amount of any credit or refund including interest. (b) The provisions of this section shall apply to the spouse of any individual entitled to the benefits of subsection (a) for any taxable year beginning two years or less after the date designated under section one hundred and twelve of the Code as the date of termination of combatant activities in a combat zone. (c) The period of service in the area referred to in subsection (a) shall include the period during which an individual entitled to benefits under subsection (a) is in a missing status within the meaning of section six thousand and thirteen (f)(3) of the Code. (d) The application of subsection (a) shall be limited in the following manner under the following circumstances: (1) if the commissioner determines the collection of the amount of any assessment would be jeopardized by delay, the provisions of subsection (a) shall not operate to stay collection of such amount by levy or otherwise as authorized by law. There shall be excluded from any amount assessed or collected pursuant to this paragraph the amount of interest, penalty, additional amount, and addition to the tax, if any, in respect of the period disregarded under subsection (a). In any case to which this paragraph relates, if the commissioner is required to give any notice to or make any demand upon any person, such requirement shall be deemed to be satisfied if the notice or demand is prepared and signed, in any case in which the address of such person last known to the commissioner is in an area for which United States post offices under instructions of the United States Postmaster General are not, by reason of the combatant activities, accepting mail for delivery at the time the notice or demand is signed. In such case the notice or demand shall be deemed to have been given or made upon the date it is signed; and (2) the assessment or collection of any tax or of any liability to the commonwealth in respect of any tax, or any action or proceeding by or on behalf of the commonwealth in connection therewith, may be made, taken, begun or prosecuted in accordance with law, without regard to the provisions of subsection (a), unless prior to such assessment, collection, action, or proceeding it is ascertained that the person concerned is entitled to the benefits of subsection (a). (e) Any individual who performed Desert Shield services and the spouse of such individual shall be entitled to the benefits of this section in the same manner as if such services were services referred to in subsection (a). For purposes of this subsection, the term ''Desert Shield services'' means any services in the Armed Forces of the United States or in support of such Armed Forces if: (1) Such services are performed in the area designated by the President of the United States pursuant to section seven thousand five hundred and eight (f)(2)(A) of the Code as the ''Persian Gulf Desert Shield area''; and (2) Such services are performed during the period beginning on August second, nineteen hundred and ninety, and ending on the date on which any portion of the area referred to in subparagraph (1) is designated by the President of the United States as a combat zone pursuant to section one hundred and twelve of the Code. (f) For purposes of subsection (a), the term ''qualified hospitalization'' means: (1) any hospitalization outside the United States, (2) any hospitalization inside the United States except that not more than five years of hospitalization may be taken into account under this subsection; provided, however, that this paragraph shall not apply for purposes of applying this section with respect to the spouse of an individual entitled to the benefits of subsection (a).

M.G.L. c. 62C, § 82 Aggregate statistical report of taxes collected; contents

c. 62C, § 82. Aggregate statistical report of taxes collected; contents Section 82. (a) The commissioner annually shall prepare and publish an aggregate statistical report of taxes collected from corporations and other businesses, other than marine insurance companies, taxable under section twenty-nine A of chapter sixty-three, that are (i) taxable under any provision of chapter sixty-three and (ii) required to file a return under section eleven or twelve of this chapter. (b) The report shall contain the following tax return information: (1) the aggregate amount of tax collected under chapter sixty-three; (2) the aggregate amount of each credit, deduction, exemption and exclusion allowed under chapter sixty-three that results in a tax expenditure by the commonwealth, provided that the report need not contain such information with respect to (i) any deduction, exemption, or exclusion, allowed under the Internal Revenue Code and adopted by the commonwealth, that results in a tax expenditure by the commonwealth of less than five million dollars for the calendar year to which the report relates or (ii) any credit, deduction, exemption, or exclusion, that is determined separately from any credit, deduction, exemption, or exclusion allowed under the Internal Revenue Code that results in a tax expenditure by the commonwealth of less than one million dollars for the calendar year to which the report relates. (3) such other aggregate information as the commissioner deems appropriate. (c) For purposes of the report, the relevant aggregate tax return information designated under subsection (b) shall be stated separately for taxpayers within each of several major industry groups determined by the commissioner. In addition, such information shall be stated separately for each of the ranges of amounts of relevant items included in the reports required under section eighty-three as such ranges are determined by the commissioner. (d) Each report shall be based on a period of one calendar year and shall include returns for the taxable years beginning during that calendar year. The report for each period shall be issued within three calendar years of the end of such period; provided, however, that the initial report required by this section shall be issued by December thirty-first, nineteen hundred and ninety-three and shall be based on tax return information relating to taxable years beginning during the calendar year nineteen hundred and ninety. Notwithstanding any other provision of this section, information not required to be reported on Massachusetts tax returns need not be included in reports relating to taxable years beginning before January first, nineteen hundred and ninety-three, and information regarding the amount of any excess tax credit or credits subject to carry-over to future taxable years and the amount of domestic life insurance company income subject to apportionment need not be included in reports relating to taxable years beginning before January first, nineteen hundred and ninety-two. (e) Nothing in this section shall allow or require the commissioner to disclose the identity of any taxpayer that provides tax return information included in the report required by this section.

M.G.L. c. 62C, § 83 Report to state secretary; corporations required to report; contents

c. 62C, § 83. Report to state secretary; corporations required to report; contents Section 83. (a)(i) Every corporation that is required to file both a report pursuant to section thirteen or section fifteen of the Securities and Exchange Act of 1934 and successor acts and a tax return pursuant to section eleven of this chapter and (ii) every bank and every insurance company that is required to file both a report pursuant to the Securities and Exchange Act of 1934 and successor acts or Title 12 of the United States Code or under section seven of chapter one hundred and sixty-seven or section twenty-six of chapter one hundred and sixty-eight or section eighteen of chapter one hundred and seventy or section twenty-two of chapter one hundred and seventy-two or section twenty-five of chapter one hundred and seventy-five and a tax return pursuant to paragraphs (a), (d), or (e) of section twelve of this chapter shall report on March first, nineteen hundred and ninety-five and on March first of each year thereafter to the state secretary certain information as specified herein from such tax return or other document on a form prepared by the state secretary containing information as specified herein from its most recently filed tax return or other document filed on or before the prior June thirtieth. The form shall be treated as a report for the purposes of section 16.22 of subdivision B of Part 16 of chapter 156D and sections 7 and 8 of chapter 167 and as part of the annual report for purposes of section 26 of chapter 175, and the report or amended report shall be maintained by the state secretary as a public record; but, the report or amended report shall be available for public inspection only after the state secretary has expunged the name of the taxpayer and the location, including street address, of the taxpayer's principal office as required by subsection (n). (b) The forms of report prepared by the state secretary shall be made available to tax payers required to report under this section no later than November first, nineteen hundred and ninety-three and on November first of each year thereafter. (c) In the case of corporations that are required to report under this section, such form shall require the reporting of the following information, provided that where two or more corporations file a combined return of income all numerical information shall be reported on a combined basis and the names and addresses of all such corporations shall be listed: (1) the name of the taxpayer; (2) the location, including street address, of the principal office; (3) gross receipts or sales, as reported on item 1 of schedule E of form 355A or 355B, or the sum of items 1 of schedule E of form 355C–A or 355C–B; (4) either (a) gross profit, as reported on item 2 of schedule E of form 355A or 355B, or the sum of items 2 of schedule E of form 355C–A or 355C–B, or (b) any excess tax credit or credits subject to carry-over to future years, as determined by adding the amount reported on item 28 of schedule H of form 355A or 355B and the amount reported on item 25 of schedule RC of form 355A or 355B, or the sum of items 28 of schedule H of form 355C–A or 355C–B and the sum of items 30 of schedule RC–A of form 355C–A or 355C–B; (5) income subject to apportionment, as reported on item 13 of schedule E of form 355A or 355B, or the sum of items 13 of schedule E of form 355C–A or 355C–B; (6) income taxable in Massachusetts as reported on item 18 of schedule E of form 355A or 355B, or column g of item 18 of schedule E of form 355C–A, or 355C–B; (7) total non-income tax excise as reported on item 3 of form 355A or 355B, or the sum of items 3 of form 355C–A or 355C–B; (8) the excise due, as reported on item 15 of form 355A or 355B, or the sum of items 15 of form 355C–A or 355C–B; and (9) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 355A, 355B, 355C–A or 355C–B. (d) In the case of banks required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address, of the principal office; (3) net interest income as reported on line 3 of schedule RI–Income Statement of the Report of Condition and Income filed with the federal financial institutions examination council; (4) income taxable in Massachusetts as reported on item 7 on form 63 B.T.C.; (5) total Massachusetts excise or tax due, as reported on item 8 on form 63 B.T.C.; and (6) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 63 B.T.C. (e) In the case of domestic life insurance companies required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address, of the principal office; (3) gross receipts or sales as reported on the company's National Association of Insurance Commissioners Annual Statement, determined by adding the amounts reported in columns 3, 4 and 5 of line 98 of schedule T of said statement and the amounts reported on the summary of operations on lines 2 and 6 of page 4 of said statement; (4) income subject to apportionment as reported on item 7 of schedule C of form DL–2; (5) premiums and income taxable in Massachusetts as determined by adding (i) items 10 and 11 of part 1 of form DL–1 or item 12 of part 2 of schedule DL–1A and (ii) item 2 of form DL–2; (6) total Massachusetts excise or tax due as determined by adding item 8 of form DL–1 and item 4 of form DL–2; and (7) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form DL–1 or DL–2. (f) In the case of domestic property and casualty insurance companies required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address, of the company's principal office; (3) gross receipts or sales as reported on the company's National Association of Insurance Commissioners Annual Statement, determined by adding the amounts reported in columns 2 and 8 of line 98 of schedule T of said Annual Statement and the amounts reported on the Underwriting and Investment Exhibit Statement of Income on line 12 of page 4 of said Annual Statement; (4) premiums and income taxable in Massachusetts as determined by adding item 5 of part I of form 63–22 and item 10 of part II of form 63–22; (5) total Massachusetts excise or tax due as reported on item 6 of form 63–22; and (6) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 63–22. (g) In the case of foreign life insurance companies required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address of the principal office; (3) gross receipts or sales as reported on the company's National Association of Insurance Commissioners Annual Statement, determined by adding the amounts reported in columns 3, 4 and 5 of line 98 of schedule T of said Annual Statement and the amounts reported on the Summary of Operations on lines 2 and 6 of page 4 of said Annual Statement; (4) premiums taxable in Massachusetts as determined by adding (i) the larger of item 7 of part 1 or column A of part 2 of form 63–20–23 and (ii) the larger of item 12 of part 1 or column B of part 2 of form 63–20–23; (5) total Massachusetts excise or tax due as reported on item 9 of form 63–20–23; and (6) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 63–20–23. (h) In the case of foreign property and casualty insurance companies required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address of the principal office; (3) gross receipts or sales as reported on its National Association of Insurance Commissioners Annual Statement, determined by adding the amounts reported in columns 2 and 8 of line 98 of Schedule T of said Annual Statement and the amounts reported on the Underwriting and Investment Exhibit Statement of Income on line 12 of page 4 of said Annual Statement; (4) premiums taxable in Massachusetts as reported on item 5 of form 63–23; (5) total Massachusetts excise or tax due as reported on item 10 of form 63–23; and (6) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 63–23. (i) In the case of preferred provider companies required to report under this section, such form shall require the reporting of: (1) the name of the taxpayer; (2) the location, including street address of the principal office; (3) gross receipts or sales as reported on line 1 of schedule A, of Internal Revenue Service form 1120–PC; (4) income taxable in Massachusetts as reported on item 3 of form 176–I; (5) total Massachusetts excise or tax due as reported on item 4 of form 176–I; and (6) the amount of each tax credit taken against the excise imposed by chapter sixty-three, as reported on form 176–I. (j) Any taxpayer required to report under this section which chooses to supplement the foregoing information with additional information may do so on the form provided by the state secretary. (k) For purposes of this section, all references to tax return or other forms, schedules and items are to the Massachusetts department of revenue or other forms, schedules and items used for taxable or other reporting years beginning during calendar year nineteen hundred and ninety-one. Should any such tax return or other form, schedule or item change for any subsequent taxable year, the state secretary, in consultation with the department of revenue, shall amend the form of report to require the reporting of the amount contained in the form, schedule or item used for such subsequent year that corresponds to the form, schedule and item referenced herein. (l) Where the amount of any item reported under this section changes, the taxpayer shall, within thirty days of the final determination of such change, file an amended report in a form prescribed by the state secretary. (m) The state secretary shall make available for public inspection by April first, nineteen hundred and ninety-four and by April first of each year thereafter a list of all taxpayers which are required to file under subsection (a). (n) Upon receipt of a report filed under this section the state secretary shall assign the report a number, chosen by the state secretary at random, which number shall be used to identify the report for purposes of public inspection of the report and any amendments thereto. A taxpayer shall be assigned the same number for its reports and any amendments thereto each year. The state secretary shall make available for public inspection copies of all reports and amended reports filed under this section after assigning such numbers and expunging from each copy the name of the taxpayer and the location, including street address, of the taxpayer's principal office.

M.G.L. c. 62C, § 84 Understatement of tax on joint return; liability for deficiencies; relief for portion not attributable to spouse; conditions

c. 62C, § 84. Understatement of tax on joint return; liability for deficiencies; relief for portion not attributable to spouse; conditions Section 84. (a) Notwithstanding section 6 of chapter 62C, an individual who has made a joint return may elect to seek relief under subsection (b), subsection (c), or both subsections concurrently. (b)(1) An individual filing a joint return under this chapter for the taxable year shall be relieved of liability for an understatement of tax, including interest, penalties and other amounts, for the taxable year on which the understatement was reported, to the extent such liability is attributable to such understatement, if: (i) the understatement is attributable to erroneous items of the other individual filing the joint return; (ii) the individual seeking relief from liability establishes that, in signing the return, the individual did not know, and did not have reason to know, that there was an understatement; (iii) taking into account all the facts and circumstances, it is inequitable to hold the individual seeking relief from liability liable for the deficiency in tax for such taxable year attributable to the understatement; and (iv) the individual seeking relief from liability elects, in such form as the commissioner may prescribe, the application of this subsection not later than 2 years after the commissioner has begun collection activities, as defined by the commissioner, with respect to the individual making the election. (2) If an individual who, but for clause (ii) of paragraph (1), would be relieved of liability under paragraph (1) establishes that in signing the return the individual did not know, and did not have reason to know, the extent of the understatement, then the individual shall be relieved of liability for the tax, including interest, penalties and other amounts, for the taxable year to the extent that the liability is attributable to the portion of the understatement of which the individual did not know and did not have reason to know. (c)(1) If an individual who has made a joint return for a taxable year elects the application of this subsection, the individual's liability for a deficiency that is assessed with respect to the return shall not exceed the portion of the deficiency that is properly allocable to the individual under paragraphs (8) to (12), inclusive. (2) Each individual who elects the application of this subsection shall have the burden of proof with respect to establishing the portion of a deficiency allocable to the individual. (3) An individual shall only be eligible to elect the application of this subsection if: (i) at the time the election is filed, the individual is no longer married to, or is legally separated from, the individual with whom the individual filed the joint return to which the election relates; or (ii) the individual was not a member of the same household as the individual with whom the joint return was filed at any time during the 12–month period ending on the date the election is filed. (4) If the commissioner demonstrates that assets were transferred between individuals filing a joint return as part of a fraudulent scheme by the individuals, an election under this subsection by either individual shall be invalid, and section 6 of chapter 62C shall apply to the joint return. (5) An election under this subsection for any taxable year may be made at any time after a deficiency for the year is asserted but not more than 2 years after the commissioner has begun collection activities, as defined by the commissioner, with respect to the individual making the election. (6) If the commissioner demonstrates that an individual making an election under this subsection had actual knowledge, at the time the individual signed the return, of an item giving rise to a deficiency or portion thereof, which is not allocable to the individual under paragraphs (8) to (12), inclusive, the election shall not apply to the deficiency or portion; provided, however, that this subparagraph shall not apply where the individual with actual knowledge establishes that the individual signed the return under duress. (7) Notwithstanding any other provision of this subsection, the portion of the deficiency for which the individual electing the application of this subsection is liable, without regard to this paragraph, shall be increased by the value of a disqualified asset transferred to the individual. For purposes of this paragraph, the term ''disqualified asset'' shall mean any property or right to property that is transferred to an individual making the election under this subsection with respect to a joint return by the other individual filing such joint return if the principal purpose of the transfer was the avoidance of tax or payment of tax; provided, however, that a transfer, other than a transfer pursuant to a decree of divorce or separate maintenance or a written instrument incident to such a decree or to a transfer that an individual establishes did not have as its principal purpose the avoidance of tax or payment of tax, that is made less than 1 year before the first letter of proposed deficiency that allows the taxpayer an opportunity for administrative review in the department of revenue is sent shall be presumed to have as its principal purpose the avoidance of tax or payment of tax. (8) The portion of a deficiency on a joint return allocated to an individual shall be the amount that bears the same ratio to the deficiency as the net amount of items taken into account in computing the deficiency and allocable to the individual under subsection (10) bears to the net amount of all items taken into account in computing the deficiency. (9) If a deficiency or portion thereof is: (i) attributable to the disallowance of a credit or a tax other than the tax imposed by chapter 62; (ii) required to be included with the joint return; and (iii) the item is allocated to 1 individual under paragraph (10), the deficiency or portion thereof shall be allocated to the individual. Any such item shall not be taken into account under paragraph (8). (10)(A) Except as provided in paragraphs (11) and (12), an item giving rise to a deficiency on a joint return shall be allocated to individuals filing the return in the same manner as it would have been allocated if the individuals had filed separate returns for the taxable year. (B) An item otherwise allocable to an individual under clause (A) shall be allocated to the other individual filing the joint return to the extent the item gave rise to a tax benefit on the joint return to the other individual. (C) The commissioner may provide for an allocation of an item in a manner not otherwise prescribed by this paragraph if the commissioner establishes that the allocation is appropriate due to fraud of 1 or both individuals. (11) If an item of deduction or credit is disallowed in its entirety solely because a separate return is filed, the disallowance shall be disregarded and the item shall be computed as if a joint return had been filed and then allocated appropriately between the spouses. (12) If the liability of a child of a taxpayer is included on a joint return, the liability shall be disregarded in computing the separate liability of either spouse and the liability shall be allocated appropriately between the spouses. (d) If after taking into account all the facts and circumstances, the commissioner determines that it is inequitable to hold the individual liable for any unpaid tax or any deficiency, or any portion thereof, and relief is not available to the individual under subsection (b) or (c), the commissioner may relieve the individual of the liability. (e)(1) Except as provided in paragraphs (2) and (3), and notwithstanding any other general or special law to the contrary, except section 6 of chapter 58A or sections 37, 37A and 37C of chapter 62C, a credit or refund shall be allowed or made to the extent attributable to the application of this section. (2) In the case of an election under subsection (b) or (c) or of a request for equitable relief under subsection (d), if a decision of a court in a prior proceeding for the same taxable year has become final, the decision shall be conclusive except with respect to the qualification of the individual for relief that was not an issue in the proceeding. This paragraph shall not apply if the court determines that the individual participated meaningfully in the prior proceeding. (3) No credit or refund shall be allowed as a result of an election under subsection (c). (f) The commissioner shall prescribe regulations necessary to carry out the provisions of this section, including: (i) regulations providing methods for allocation of items other than the methods under clause (C) of paragraph (10) of subsection (c); and (ii) regulations providing the opportunity for an individual to have notice of, and an opportunity to participate in, any administrative proceeding with respect to an election made under subsection (b) or (c) or a request for equitable relief made under subsection (d) by the other individual filing the joint return.

M.G.L. c. 62C, § 85 Electronic funds transfers

c. 62C, § 85. Electronic funds transfers Section 85. The commissioner may provide for the payment of any tax, interest or penalty or the refund or abatement thereof by the electronic transfer of funds. The commissioner may permit the filing of any return or document by electronic data submission. The commissioner may by regulation or otherwise establish procedures necessary to implement this section.

M.G.L. c. 62C, § 86 Convention center financing surcharges; administration; collection

c. 62C, § 86. Convention center financing surcharges; administration; collection Section 86. (a) The administration of the convention center financing surcharges imposed under subsections (d), (e) and (f) of section 9 of chapter 152 of the acts of 1997 is vested in the commissioner. All provisions of this chapter relative to assessment, collection, payment, abatement, verification and administration, including penalties and interest, shall, so far as pertinent, be applicable to the convention center financing surcharges as though they were taxes enumerated in section 2. (b) The convention center financing surcharge imposed under subsection (d) of section 9 of chapter 152 of the acts of 1997 shall be collected by the operator of the tour or cruise and remitted to the department of revenue on a quarterly basis. (c) The convention center financing surcharge imposed under subsection (e) of section 9 of said chapter 152 shall be collected by the vendor and remitted to the department of revenue on a quarterly basis. (d) The convention center financing surcharge imposed under subsection (f) of section 9 of said chapter 152 shall be collected by the operator of the parking facility and remitted to the department of revenue on a quarterly basis.

M.G.L. c. 62C, § 87 Presidentially declared disaster; terroristic or military action; tax liability

c. 62C, § 87. Presidentially declared disaster; terroristic or military action; tax liability Section 87. In the case of a taxpayer determined by the commissioner to be affected by a Presidentially declared disaster, as defined in section 1033(h)(3) of the Internal Revenue Code as in effect for the current taxable year, or a terroristic or military action, as defined in section 692(c)(2) of said Internal Revenue Code, the commissioner may specify a period of up to 1 year that may be disregarded in determining, under this chapter, in respect of any tax liability of such taxpayer (1) whether any of the acts described in paragraph (1) of subsection (a) of section 81 were performed within the time prescribed therefor, determined without regard to extension under any other provision of this chapter for periods after the date determined by the commissioner of such disaster or action, (2) the amount of any interest, penalty, additional amount, or addition to the tax for periods after such date, and (3) the amount of any credit or refund. In the case of a pension or other employee benefit plan, or any sponsor, administrator, participant, beneficiary, or other person with respect to such plan, affected by a disaster or action described in subsection (a), the commissioner may specify a period of up to 1 year which may be disregarded in determining the date by which any action is required or permitted to be completed under this chapter. No plan shall be treated as failing to be operated in accordance with the terms of the plan solely as the result of disregarding any period by reason of the preceding sentence.

M.G.L. c. 62C, § 88 [There is no 62C:88.]

M.G.L. c. 62C, § 89 Annual reports on tax credit programs; contents

c. 62C, § 89. Annual reports on tax credit programs; contents Section 89. (a) Annually on or before May 15, the administering agency head of each tax credit program shall submit a report to the commissioner on each tax credit program authorized for the previous calendar year, in this section called the report, which shall be a public record. For purposes of this report, no information shall be used pertaining to credits, exemptions or deductions awarded or claimed prior to January 1, 2011. For the purposes of this section, the taxpayer shall be the initial recipient of an authorized tax credit. (b) The report shall contain the following information: (i) the identity of each taxpayer receiving an authorized tax credit and from which tax credit program the credit was received; (ii) the amount of the authorized tax credit awarded and issued for each taxpayer and each project, if applicable; and (iii) the date that the authorized tax credit was awarded and issued for each taxpayer and each project.

Source: Massachusetts General Court (malegislature.gov)URL: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter62CFetched: 10/20/2026