Skip to Content


SENATE DOCKET, NO. 1300         FILED ON: 1/18/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1378

 

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

Richard T. Moore

_______________

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 a health care electronic prescribing tax credit.

_______________

PETITION OF:

 

Name:

District/Address:

Richard T. Moore

Worcester and Norfolk


SENATE DOCKET, NO. 1300        FILED ON: 1/18/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1378

By Mr. Richard T. Moore, a petition (accompanied by bill, Senate, No. 1378) of Richard T. Moore for legislation to establish a health care electronic prescribing tax credit.  Revenue. 

 

[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE SENATE, NO. 1487 OF 2011-2012.]


The Commonwealth of Massachusetts
 

_______________

In the Year Two Thousand Thirteen

_______________

 

An Act establishing a health care electronic prescribing tax credit.
 

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

              SECTION 1. Chapter 63 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting the following section at the end thereof:-- 

              Section 38DD.  Tax Credit for Corporations Who Adopt Electronic Prescribing Capability

              (a)  In determining the net income subject to tax under this chapter, a business corporation may deduct, in addition to any other allowable deduction under this chapter, the expenditures paid or incurred during the taxable year with respect to the installation of any technology and infrastructure necessary to adopt and utilize electronic prescribing capabilities thereby including the cost of labor attendant to the installation thereof; provided, however, that such electronic prescribing system has a situs in the commonwealth, is used exclusively in the trade or business of such corporation and the physicians within said corporation are duly licensed pursuant to section 2 of chapter 112 of the General Laws.

              (b) Such deduction shall be allowed only--

              (1) on condition that the net income for the taxable year and all succeeding taxable years be computed without any exemption, credit or deduction for such expenditures or for depreciation of the property other than the deductions allowed by this section, and

              (2) with respect to the installation of any technology and infrastructure necessary to adopt and utilize electronic prescribing capabilities and such capabilities have already been in use by the duly licensed physicians within said corporation within the taxable year.

              (c) If expenditures with respect to any technology and infrastructure necessary to adopt and utilize electronic prescribing capabilities thereby including the cost of labor attendant to the installation thereof have been deducted as provided herein and if within ten years from the end of the taxable year in which such deduction was allowed such unit or system or any part thereof is used other than exclusively in the corporation's trade or business, the corporation shall report such change of use in its return for the first taxable year during which it occurs, and the commissioner may recompute the tax for the year or years for which such deduction was allowed and may assess any additional tax resulting from such recomputation within the period of assessment applicable to such return.

              (d) In any taxable year when property is sold or otherwise disposed of, with respect to which a deduction has been allowed pursuant to this section, such deduction shall be disregarded in computing gain or loss, and the gain or loss on the sale or other disposition of such property shall be the gain or loss resulting if the deduction provided by this section had not been elected and the cost or other basis of the technology and infrastructure necessary to adopt and utilize electronic prescribing capabilities had been reduced by straight-line depreciation based on the useful life of such unit or system; provided, however, that if such sale or other disposition of such unit or system occurs within three years of the date such unit or system is placed in service the basis shall be zero.

              (e) Any technology and infrastructure necessary to adopt and utilize electronic prescribing capabilities thereby which qualifies for the deduction provided for by this section shall not be subject to taxation under the tangible property measure of the excise imposed by subclause (i) of clause (1) of subparagraph (a) of the fourth paragraph of section 39 of this chapter.

The information contained in this website is for general information purposes only. The General Court provides this information as a public service and while we endeavor to keep the data accurate and current to the best of our ability, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.

Error