Amendment #43 to H4165

Quarterly Tax Payment Stabilization

Representatives Jones of North Reading, Peterson of Grafton, Hill of Ipswich, Poirier of North Attleborough and deMacedo of Plymouth moves to amend the bill by adding at the end thereof the following new sections:-

“SECTION AA. Subsection (c) of section 3 of chapter 63B of the General Laws, as appearing in the 2012 Official Edition, is hereby amended by striking said subsection and inserting in place thereof the following:—

(c) For purposes of this chapter, there shall be four required installments for each taxable year, except as otherwise provided by this chapter. The first installment shall be paid on or before the fifteenth day of the third month of the taxable year; the second installment shall be paid on or before the fifteenth day of the sixth month of the taxable year; the third installment shall be paid on or before the fifteenth day of the ninth month of the taxable year; and the fourth installment shall be paid on or before the fifteenth day of twelfth month of the taxable year. The amount of any installment shall be 25 percent of the required annual payment.

The term “required annual payment” means the lesser of (i) 90 per cent of the tax shown on the return for the taxable year or, if no return is filed, 90 per cent of the tax for such year, or (ii) 100 per cent of the tax shown on the return of the corporation for the preceding taxable year, or (iii) 90 per cent of the tax for the taxable year or, (iv) ninety per cent of the tax that would be required to be shown on the return for taxable year if the tax were determined by using the income apportionment percentage determined for the preceding taxable year under chapter 63.

Clause (ii) shall not apply if the preceding taxable year was not a taxable year of 12 months or the corporation did not file a return for such preceding taxable year showing a liability for tax.

Clause (ii) shall not apply in the case of a large corporation, as defined in section 6655 (g) of the Internal Revenue Code of the United States, as amended on January 1,1989 and in effect for the taxable year except for purposes of determining the amount of the first required installment for any taxable year; provided, however that any reduction in such first installment by reason of this provision shall be recaptured by increasing the amount of the next required installment by the amount of such reduction.

SECTION BB. Section 4A of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “sixty-five” in line 4 and inserting in place thereof the following:- 50

SECTION CC. Section 4A of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “ten” in line 9 and inserting in place thereof the following:- 25

SECTION DD. Section 4A of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “ninety” in line 14 and inserting in place thereof the following:- 25

SECTION EE. Section 4A of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “ten” in line 16 and inserting in place thereof the following:- 25

SECTION FF. Section 4B of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “thirty” in line 7 and inserting in place thereof the following:- 25.

SECTION GG. Section 4B of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “twenty-five” in line 10 and inserting in place thereof the following:- 25.

SECTION HH. Section 4B of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “twenty-five” in line 13 and inserting in place thereof the following:- 25.

SECTION II. Section 4B of chapter 63B of the General Laws, as so appearing, is hereby amended by striking the word “twenty” in line 15 and inserting in place thereof the following:- 25.

SECTION JJ. Notwithstanding any general or special law to the contrary, the comptroller may, on or before June 30, 2015, transfer no more than $200,000,000 to the General Fund from the Commonwealth Stabilization Fund; provided, the amount of the transfer shall be Commonwealth Stabilization Fund shall be reimbursed the full amount of the transfer by December 31, 2015. The comptroller, in consultation with the secretary of administration and finance, may take the overall cash flow needs of the commonwealth into consideration in determining the timing of any transfer of funds. The comptroller shall provide a schedule of transfers to the secretary of administration and finance and to the house and senate committees on ways and means.

SECTION KK. Sections AA through II, inclusive, shall take effect beginning January 1, 2015.”.

Additional co-sponsor(s) added to Amendment #43 to H4165

Quarterly Tax Payment Stabilization