1 of 1
HOUSE DOCKET, NO. 167 FILED ON: 1/10/2023
HOUSE . . . . . . . . . . . . . . . No. 234
The Commonwealth of Massachusetts
_________________
PRESENTED BY:
Adam Scanlon
_________________
To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act encouraging the growth of small businesses.
_______________
PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:Adam Scanlon14th Bristol1/10/2023Bud L. Williams11th Hampden2/8/2023Colleen M. Garry36th Middlesex2/15/2023 1 of 2
HOUSE DOCKET, NO. 167 FILED ON: 1/10/2023
HOUSE . . . . . . . . . . . . . . . No. 234
By Representative Scanlon of North Attleborough, a petition (accompanied by bill, House, No.
234) of Adam Scanlon, Bud L. Williams and Colleen M. Garry relative to bona fide business
entities and encouraging the growth of small businesses. Community Development and Small
Businesses.
The Commonwealth of Massachusetts
_______________
In the One Hundred and Ninety-Third General Court
(2023-2024)
_______________
An Act encouraging the growth of small businesses.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 Section 1. The Massachusetts General Laws, as appearing in the 2020 Official Edition, is
2hereby amended by inserting after Chapter 93L the following new chapter:
3 Chapter 93M, Bona Fide Business Entities
4 Section 1. A business entity that provides services under a written contract is not an
5employee for the purposes of Title IX, Taxation, and Title XXI, Labor and Industries, provided
6that the business entity is bona fide. A business entity will be deemed to be bona fide if it is
7shown that:
8 (a) The business entity is registered as such with the Secretary of the Commonwealth and
9is in good standing;
10 (b) The business entity includes the compensation it receives for the services it renders on
11federal and applicable state tax schedules as income from an independent business or profession; 2 of 2
12 (c) The business entity reports the compensation paid to its employees, if any, to the
13Internal Revenue Service and the Massachusetts Department of Revenue; and
14 (d) The business entity complies with federal and state tax, unemployment insurance,
15workers’ compensation insurance, and labor and employment law obligations with respect to its
16employees.