Administrative Procedure  AP 613: Requesting a Certificate of Good Standing and/or Tax Compliance, Release of Professional License, or Waiver of Corporate Excise Tax Lien

Date:	05/08/2024
Organization:	Massachusetts Department of Revenue
Referenced Sources:	Massachusetts General Laws

The Department of Revenue issues documents of good tax standing as individuals, businesses, and other organizations often need proof that they are in compliance with their tax obligations under Chapter 62C of the Massachusetts General Laws, in order to:

• Sell a business.
• Obtain financing.
• Renew or transfer a liquor license.
• Obtain or renew a marijuana license.
• Gain employment with or be licensed by the Gaming Commission and/or other agencies.
• Enter into business transactions.
• Have a business license reinstated.
• Have a contract with the Commonwealth reinstated after suspension or revocation.

The document does not certify that the taxpayer is compliant with respect to certain fees and contributions, such as unemployment insurance, that are administered by agencies other than the Department of Revenue, or local taxes administered by cities and towns.  In addition, some corporations are also required to obtain a Waiver of Corporate Excise Tax Lien.

Taxpayers may request documents of good standing online through the DOR website. To access the Department’s website, go to https://mtc.dor.state.ma.us/MTC.

All paper requests (using Request for a Certificate of Good Standing and/or Tax Compliance or Waiver of Corporate Excise Tax Lien) must be sent to:

Massachusetts Department of Revenue
Attention:  Collections Bureau
P.O. Box 7073
Boston, Massachusetts 02204

Fax Number: [phone]

Note: Processing a paper application can take 4 to 6 weeks. DOR strongly recommends filing your request online at https://mtc.dor.state.ma.us/MTC.

613.1. Certificate of Good Standing and/or Tax Compliance

The DOR issues a Certificate of Good Standing and/or Tax Compliance to prove that as of the date of the letter, the taxpayer is in full compliance with its tax obligations under Chapter 62C of the Massachusetts General Laws.

Corporations, organizations, and individuals often need a document of good tax standing in order to obtain financing, renew licenses, or enter into other business transactions.

New liquor license and liquor license transfer applicants are required by the Alcoholic Beverages Control Commission (ABCC) to personally affirm that they are in good standing and have complied with all tax laws of the Commonwealth.

Certain employees at a Massachusetts gaming establishment must be registered or licensed by the Massachusetts Gaming Commission prior to commencing employment. These employees must provide a Certificate of Good Standing and/or Tax Compliance to the gaming establishment. Prior to conducting business with a Massachusetts gaming establishment, non-gaming or non-sports wagering vendors must provide a Certificate of Good Standing and/or Tax Compliance to the Gaming Commission as part of the registration process.

As part of the marijuana licensure process with the Cannabis Control Commission, a Certificate of Good Standing and/or Tax Compliance is required.

To request a Certificate of Good Standing and/or Tax Compliance, go to https://mtc.dor.state.ma.us/MTC.

If in full compliance, a Certificate of Good Standing and/or Tax Compliance will be issued. If not in good standing, the taxpayer will be informed if they have an outstanding liability or unfiled returns on their account. Once the taxpayer has satisfied any overdue returns and/or outstanding liabilities they must wait at least 24 hours to reapply for a Certificate of Good Standing and/or Tax Compliance.

As provided in TIR 99-18, an entity seeking a Certificate of Good Standing and/or Tax Compliance while disputing a tax must post security.  See DOR Directive 06-6 for guidelines concerning the requirement to deposit security.

613.2. Release of Professional License or Health Care License

After the receipt of a Notice of Non-Renewal of Professional License or Notice of Non-Renewal of Health Care License, or suspension or revocation of a professional, health care license, individuals or businesses wishing to have a license renewed or reinstated must obtain a release from DOR. 

To apply for a Release of Professional License or Release of Health Care License, go to https://mtc.dor.state.ma.us/MTC. Select Request a Certificate of Good Standing.  At the application type, click on Professional License Renewal and complete the application and submit.

If in full compliance, a Release of Professional License, or a Release of Health Care License will be issued directly to the appropriate licensing board. If not in good standing, the taxpayer will be informed if they have an outstanding liability or unfiled returns on their account. Once the taxpayer has satisfied any overdue returns and/or outstanding liabilities they must wait at least 24 hours to reapply for a Release of Professional License or a Release of Health Care License.

613.3. Waiver of Corporate Excise Tax Lien

The Waiver of Corporate Excise Tax Lien letter certifies that in accordance with G.L. c. 62C, § 52, the Commissioner of Revenue waives the lien on the detailed assets of the transferor corporation that may arise under G.L. c. 62C, § 51, immediately prior to the proposed sale or transfer of such assets.

Corporations and certain LLCs that file corporate or corporate combined returns may ask for such a waiver when selling all, or substantially all, of their assets within the Commonwealth. 

A Waiver of Corporate Excise Tax Lien is applicable to:

•  Corporations that file corporate returns

•  LLC’s that file corporate returns or file corporate combined returns

•  Disregarded LLC’s that file corporate combined returns

Non-profit corporations are ineligible as they do not file corporate returns.

To apply for a Waiver of Corporate Excise Tax Lien, go to https://mtc.dor.state.ma.us/MTC. Log into MassTaxConnect account. Select Request a Certificate of Good Standing. At the application type, click on Waiver of Corporate Tax Lien and complete the application and submit. 

If in full compliance, a Waiver of Corporate Excise Tax Lien will be issued to the taxpayer. If not in good standing, the taxpayer will be informed if they have an outstanding liability or unfiled returns on their account. Once the taxpayer has satisfied any overdue returns and/or outstanding liabilities they must wait at least 24 hours to reapply for a Waiver of Corporate Excise Tax Lien.             

           

REFERENCES:
G.L. c. 62C, §§ 32(e), 33(c), 51, 52
G.L. c. 138, § 64
G.L. c. 156D, §§ 15.20, 15.32
I.R.C. § 501(c)
TIR 99-18
TIR 08-11
DD 06-6
AP 614, Power of Attorney
AP 631, The Collection Process
Form M-2848, Power of Attorney and Declaration of Representative
Certificate of Good Standing and/or Tax Compliance
Waiver of Corporate Excise Tax Lien