HOUSE DOCKET, NO. 4859        FILED ON: 5/30/2018

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No.         

The Commonwealth of Massachusetts

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PRESENTED BY:

Tricia Farley-Bouvier and Aaron Vega

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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 establishing an annual sales tax holiday for small business retailers.

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PETITION OF:

HOUSE DOCKET, NO. 4859        FILED ON: 5/30/2018

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No.         

The Commonwealth of Massachusetts

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In the One Hundred and Ninetieth General Court
(2017-2018)

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An Act establishing an annual sales tax holiday for small business retailers.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

Chapter 64H of the General Laws is hereby amended by inserting after section 6 the following section:-

Section 6A. (a) For the purposes of this section, the following terms shall have the following meanings, unless the context clearly requires otherwise

“Small business retailer,” a vendor, as defined in in section 1; provided, however, that said vendor shall have no more than 5 locations in the commonwealth and no more than 200 employees.

“Tangible personal property” shall have the same meaning as it does in section 1, except that for purposes of this section, it shall not include telecommunications;  gas; steam; electricity; motor vehicles; boats; meals; tobacco products subject to the excise imposed pursuant to chapter 64C; marijuana or marijuana products subject to the excise imposed pursuant to section 2 of chapter 64N; firearms, weapons or ammunition as defined in section 121 of chapter 140, or any item intended for use with such firearm, weapon or ammunition; or any single item whose price is in excess of $2,500.

(b) The commissioner shall annually designate, by July 15 of each calendar year, a 2-day weekend in August during which no excise shall be imposed upon non-business sales at retail of tangible personal property by small business retailers in the commonwealth.

(c) For the days designated by the commissioner pursuant to this section, no small business retailer in the commonwealth shall add to the sales price or collect from any non-business purchaser an excise upon sales at retail of tangible personal property.

(d) The commissioner shall not require any small business retailer to collect and pay excise upon sales at retail of tangible personal property purchased on said designated days. Any excise erroneously or improperly collected during the designated days shall be remitted to the department of revenue.

(e) When choosing the designated days pursuant to this section, the commissioner shall take into consideration the observance of any religious and secular days of observation occurring therein; provided, that the commissioner shall designate such days so as to maximize the economic benefit to the commonwealth. Reporting requirements imposed upon vendors of tangible personal property, by law or by regulation, including, but not limited to, the requirements for filing returns required by chapter 62C, shall remain in effect for sales for the days designated by the commissioner.

(f) On or before December 31 of each year, the commissioner shall certify to the comptroller the amount of sales tax forgone, as well as new revenue raised from personal and corporate income taxes and other sources, pursuant to this section. The commissioner shall issue a report detailing by fund the amounts under general and special laws governing the distribution of revenues under this chapter which would have been deposited in each fund, without this section.

(g)The commissioner shall issue instructions or forms, or promulgate rules or regulations, necessary for the implementation of this section.