Session Laws

Be it enacted by the People, and by their authority, as follows:

SECTION ONE. Chapter 62C of the General Laws, as appearing in the 1990 Official Edition, is hereby amended by adding after Section 12, the following section:-

Section 12A. (a) Each bank, insurance company, and publicly-traded corporation obligated 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 section seven of chapter one hundred sixty-seven or section twenty-six of chapter one hundred sixty-eight or section eighteen of chapter one hundred seventy or section twenty-two of chapter one hundred seventy-two or section twenty-five of chapter one hundred seventy-five and a tax return pursuant to section eleven (a) or section twelve (a), (c), (d), (e), or (f) of this chapter shall on or before March first of each year, report to the state secretary certain information from such tax return on a form prepared by the state secretary. Any entity which files a consolidated return shall report to the state secretary on a consolidated basis and shall list all entities so consolidated. Such form shall be treated as a report for the purposes of section one hundred twelve of chapter one hundred fifty-six (B), section nine of chapter one hundred eighty-one, and sections seven and eight of chapter one hundred sixty-seven and as part of the annual report for purposes of section twenty-six of chapter one hundred seventy-five.

An amended form shall be filed within thirty days of any relevant change to the return made by the taxpaying entity or ordered by the commissioner.

(b) The forms prepared by the secretary shall be made available to the entities required to report under this section no later than January first of each year. Such form shall require the reporting of information from the return, schedules and attachments relevant to calculation of tax liability and to the effect of apportionment rules, exemptions, deductions, and credits on the tax liability of entities subject to this reporting requirement. Said forms shall require information which includes, but which is not limited to, the following, as applicable: name of entity; street address of principal office; net and gross income and assets, including, where applicable, gross profit, taxable Massachusetts tangible property, taxable net worth, gross receipts or sales, net income, total net taxable income, income subject to apportionment, income taxable in Massachusetts, total net and gross direct premiums in or allocable to Massachusetts, taxable premiums, gross investment income, Massachusetts taxable investment income, net underwriting profit, admitted assets, total adjusted taxable income; each deduction, exemption, credit, offset, adjustment or credit carryover which reduces income subject to taxation (including to a negative level) or otherwise affects tax liability; the percentage used, if any, to establish what portion of total net taxable income is apportioned to Massachusetts; the total Massachusetts excise or tax due; the total Massachusetts excise or tax paid; any excess tax credit or credits subject to carryover to future years; and its net income according to its books on its federal return. In no case may the secretary require the reporting of any information not required on the return, schedules or attachments provided to the commissioner.

(c) Any bank, insurance company or publicly-traded corporation covered by this section which chooses to supplement the foregoing information with additional information from its tax return, may request, in writing, of the state secretary that such bank, insurance company, or publicly-traded corporation be allowed to append to the form such additional information. Such permission shall not be unreasonably denied.

(d) The commissioner shall annually notify all banks, insurance companies, and publicly-traded corporations of the obligations under this section. The first notice shall be given within thirty days after enactment of this section.

(e) By April first of each year the state secretary shall make public (i) all forms filed pursuant to this section with the state secretary and (ii) a list of those banks, insurance companies, and publicly-traded corporations required to report under this section. All amendments or late filings shall be made public within thirty days of submission to the state secretary.

SECTION TWO. Subsection (b) of section twenty-one of Chapter 62C of the General Laws, as appearing in the 1990 Official Edition, as most recently amended by chapter 154 of the Acts of 1990, is hereby amended by adding after paragraph (14) the following:

(15) The full exercise of any of the activities required of either the commissioner or the state secretary by section twelve A of this chapter.

SECTION THREE. Section four of Chapter 181 of the General Laws, as appearing in the 1990 Official Edition, is hereby amended by adding after paragraph (5) the following:

(6) whether the corporation is publicly-traded.

SECTION FOUR. Section 109 of Chapter 156B of the General Laws, as appearing in the 1990 Official Edition, is hereby amended by adding after paragraph (5) the following:

(6) whether the corporation is publicly-traded.

SECTION FIVE. Subsection (b) of section five of Chapter 29 of the General Laws, as appearing in the 1990 Official Edition, is hereby amended by adding at the end of the third paragraph the following:

The report of such estimates shall include, for every then current tax expenditure enacted, extended or modified subsequent to January first of 1988, a detailed analysis of the revenue foregone based on the most recent fiscal year for which data is available or can reasonably be obtained. Said analysis shall include, but need not be limited to, the number and proportion of taxpayers or taxpaying entities benefiting from the tax expenditure, by income, gross profit, gross receipts or sales and the distribution of benefit across taxpayers or taxpaying entities with different income, gross profit, gross receipts or sales. To the extent possible, such analysis shall be based on data gathered from actual tax returns. Such analysis need not be provided for tax expenditures for which the revenue foregone did not exceed one million dollars in the most recent fiscal year for which data is available. `t+99