Massachusetts 2023-2024 Regular Session

Massachusetts Senate Bill S1826 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1 of 1
2	2	SENATE DOCKET, NO. 2356 FILED ON: 1/20/2023
3	3	SENATE . . . . . . . . . . . . . . No. 1826
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Barry R. Finegold
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act relative to economic development initiatives.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :Barry R. FinegoldSecond Essex and Middlesex 1 of 3
16	16	SENATE DOCKET, NO. 2356 FILED ON: 1/20/2023
17	17	SENATE . . . . . . . . . . . . . . No. 1826
18	18	By Mr. Finegold, a petition (accompanied by bill, Senate, No. 1826) of Barry R. Finegold for
19	19	legislation relative to economic development initiatives. Revenue.
20	20	The Commonwealth of Massachusetts
21	21	_______________
22	22	In the One Hundred and Ninety-Third General Court
23	23	(2023-2024)
24	24	_______________
25	25	An Act relative to economic development initiatives.
26	26	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
27	27	of the same, as follows:
28	28	1 SECTION 1. Paragraph (1) of subsection (a) of section 4 of chapter 62 of the General
29	29	2Laws, as appearing in the 2020 Official Edition, is hereby amended by inserting, in line 5, after
30	30	3the word “cent”, the following words:-
31	31	4 ; provided, however, that any gain from the sale or exchange of capital assets held for 1
32	32	5year or less shall be taxed at the rate of 5 per cent.
33	33	6 SECTION 2. Section 38M of chapter 63 of the General Laws, as so appearing, is hereby
34	34	7amended by striking out subsection (e) and inserting in place thereof the following:-
35	35	8 (e)(1) If a corporation is not an eligible semiconductor company, the credit allowed under
36	36	9this section shall be limited to 100 per cent of a corporation's first $25,000 of excise, as
37	37	10determined before the allowance of any credits, plus 75 per cent of the corporation's excise, as so
38	38	11determined in excess of $25,000. 2 of 3
39	39	12 (2) If a corporation is an eligible semiconductor company, the credit allowed under this
40	40	13section shall be limited to 100 per cent of a corporation's first $25,000 of excise, as determined
41	41	14before the allowance of any credits, plus 95 per cent of the corporation's excise, as so determined
42	42	15in excess of $25,000.
43	43	16 (3) The commissioner shall promulgate regulations similar to those authorized under
44	44	17subsection (c)(2)(B) of section 38 of said Code for the purposes of apportioning the $25,000
45	45	18amount among members of a controlled group. Nothing in this section shall alter section 32C as
46	46	19it affects other credits under this chapter.
47	47	20 SECTION 3. Said section 38M of said chapter 63, as so appearing, is hereby further
48	48	21amended in paragraph (1) of subsection (k) by inserting before the definition of “life sciences”
49	49	22the following definition:-
50	50	23 “Eligible semiconductor company”, a corporation: (i) the primary business activity of
51	51	24which involves conducting research on, developing or manufacturing semiconductor devices,
52	52	25microprocessors, memory chips or other similar products or the production equipment that is
53	53	26used to manufacture such devices, microprocessors, chips or products; and (ii) that establishes a
54	54	27new physical facility in the commonwealth or expands an existing physical facility in the
55	55	28commonwealth not later than 3 years after the effective date of this section; provided, however,
56	56	29that such establishment or expansion creates 15 net new jobs in the commonwealth and the
57	57	30company commits to retaining such jobs through December 31, 2029 at the earliest; and
58	58	31provided further, that the physical facility is primarily related to researching, developing or
59	59	32manufacturing semiconductor devices, microprocessors, memory chips or other similar products 3 of 3
60	60	33or the production equipment that is used to manufacture such devices, microprocessors, chips or
61	61	34products.
62	62	35 SECTION 4. Not later than eight months after the effective date of this act, the
63	63	36commissioner of revenue shall issue new regulations to carry out the purposes of section 38M of
64	64	37the General Laws.