Exemption of Premiums on Accident and Accidental Death Insurance

Exemption of Premiums on Group-Term Life Insurance

Exemption of Interest on Life Insurance Policy and Annuity Cash Value

1.003

237.4

245.6

254.9

Exemption of Employer Contributions for Medical Insurance Premiums and Medical Care

1.004

389.1

417.8

448.8

Exemption of Annuity or Pension Payments to Firemen and Policemen

1.005

N.A.

N.A.

N.A.

Exemption of Distributions from Certain Contributory Pension and Annuity Plans

1.006

6.4

6.4

6.4

Exemption of Railroad Retirement Benefits

1.007

4.3

4.4

4.6

Exemption of Public Assistance Benefits

1.008

86.8

89.8

93.6

Exemption of Social Security Benefits

1.009

493.5

493.1

506.8

Exemption of Workers' Compensation Benefits

1.010

4.2

4.2

4.2

Exemption of Dependent Care Expenses

1.011

8.1

9.1

10.1

Exemption of Certain Foster Care Payments

1.012

3.8

3.9

3.9

Exemption of Payments Made to Coal Miners

1.013

N.A.

N.A.

N.A.

Exemption of Rental Value of Parsonages

1.014

0.6

0.6

0.6

Exemption of Scholarships and Fellowships

1.015

9.2

10.4

10.4

Exclusion of Certain Prizes and Awards

1.016

N.A.

N.A.

N.A.

Exemption of Cost-Sharing Payments

1.017

N.A.

N.A.

N.A.

Exemption of Meals and Lodging Provided at Work

1.018

5.3

5.3

5.3

Treatment of Business-Related Entertainment Expenses

1.019

4.9

5.0

5.0.

Exemption of Income from the Sale, Lease or Transfer of Certain Patents

1.020

N.A.

N.A.

N.A.

Exemption of Capital Gains on Home Sales for Persons 55 and Over

1.021

38.2

39.8

40.6

Nontaxation of Capital Gains at Death

1.022

65.8

72.8

77.4

Exemption of Interest from Massachusetts Obligations

1.023

123.3

118.5

115.2

Exemption of Benefits and Allowances to Armed Forces Personnel

1.024

4.8

4.8

5.0

Exemption of Veterans' Pensions, Disability Compensation and G.I. Benefits

1.025

13.5

13.5

13.5

Exemption of Military Disability Pensions

1.026

0.3

0.3

0.3

Exemption of Compensation to Massachusetts-Based Nonresident Military Personnel

1.027

6.7

7.0

7.4

Exemption of Income Received by Persons Killed in Military Action or Terrorist Activity

1.028

N.A.

N.A.

N.A.

Exemption of Retirement Pay of the Uniformed Services

1.029

N.A.

25.0

18.0

Net Exemption of Employer Contributions and Earnings of Private Pension Plans

1.101

532.7

556.1

579.5

Treatment of Incentive Stock Options

1.102

N.A.

N.A.

N.A.

Exemption of Earnings on Stock Bonus Plans or Profit Sharing Trusts

1.103

N.A.

N.A.

N.A.

Exemption of Earnings on IRA and Keogh Plans

1.104

N.A.

N.A.

N.A.

Deferral of Capital Gains on Home Sales

1.105

49.4

40.0

30.5

Nontaxation of Capital Gains at Time of Gift

--- included in 1.022 ---

Capital Gains Deduction

1.201

N.A.

N.A.

N.A.

Deduction of Capital Losses against Interest and Dividend Income

1.202

N.A.

N.A.

N.A.

Excess Natural Resource Depletion Allowance

1.203

0.7

1.4

1.4

Abandoned Building Renovation Deduction

1.204

N.A.

N.A.

N.A.

Accelerated Deductions from Gross Income

Accelerated Depreciation on Rental Housing

1.301

5.6

5.6

4.9

Accelerated Depreciation on Rehabilitation of Low Income Housing

1.302

N.A.

N.A.

N.A.

Accelerated Depreciation on Buildings (other than Rental Housing)

1.303

9.8

7.7

6.3

Accelerated Cost Recovery System (ACRS) for Equipment

1.304

41.4

42.8

45.6

Deduction for Excess First-Year Depreciation

1.305

2.3

1.7

1.7

Five-Year Amortization of Start-Up Cost

1.306

0.8

0.8

0.8

Five-Year Amortization of Certain Operating Rights

1.307

N.A.

N.A.

N.A.

Expensing of Exploration and Development Costs

1.308

0.3

0.3

0.3

Expensing of Research and Development Expenditures in One Year

1.309

0.6

0.6

0.6

Five-Year Amortization of Pollution Control Facilities

1.310

N.A.

N.A.

N.A.

Seven Year Amortization for Reforestation

1.311

N.A.

N.A.

N.A.

Expensing of Certain Capital Outlays of Farmers

1.312

0.2

0.2.

0.2

Deduction for Employee Social Security and Railroad Retirement Payments

1.401

263.9

273.4

276.1

Deduction for Employee Contributions to Public Pension Plans

1.402

--- included in 1.401 ---

Additional Exemption for the Elderly

1.403

12.5

12.7

12.9

Additional Exemption for the Blind

1.404

0.8

0.8

0.8

Dependents Exemption where the Child Earns Income

1.405

N.A.

N.A.

N.A.

Deduction for Dependent Under 12

1.406

15.5

31.5

31.8

Personal Exemption for Students Aged 19 or Over

1.407

4.9

4.9

5.5

Deduction for Adoption Fees

1.408

0.6

0.6

0.7

Deduction for Business-Related Child Care Expenses

1.409

15.0

15.2

15.4

Exemption of Medical Expenses

1.410

23.7

24.1

24.3

Rent Deduction

1.411

89.2

90.6

91.5

Nontaxation of Charitable Purpose Income of Trustees, Executors or Administrators

1.412

N.A.

N.A.

N.A.

Exemption of Interest on Savings in Massachusetts Banks

1.413

10.3

10.4

10.5

Tuition Tax Deduction

1.414

N.A.

13.0

13.0

Preferential Treatment of Interest on Savings in Massachusetts Banks

1.501

85.2

86.5

87.3

Renewable Energy Source Credit

1.601

N.A.

N.A.

N.A.

Credit for Removal of Lead Paint

1.602

5.7

5.8

5.8

Economic Opportunity Area Credit

1.603

N.A.

N.A.

N.A.

Credit for Employing Former Full-Employment Program Participants

1.604

N.A.

N.A.

N.A.

Earned Income Credit

1.605

N.A.

29.0

30.0

Septic System Repair Credit

1.606

N.A.

17.0

18.0

PROPOSED HOUSE 1A CHANGES

Provide a $5,000 Exemption for Providing Care to Elderly Relatives.

N.A.

N.A.

4.0

Adopt Federal Capital Gains Exemption for the Sale of a Principal Residence

N.A.

N.A.

2.0

Credit for Contributions to a Mass. College Investment Savings Program

N.A.

N.A.

2.6

Exemption for Interest and Withdrawals from a Mass. College Investment Savings Program

N.A.

N.A.

0.4

Subtotal ²

2,691.6

2,864.1

Small Business Corporations

2.001

4.6

4.8

5.0

Exemption of Income from the Sale, Lease or Transfer of Certain Patents

2.002

N.A.

N.A.

N.A.

Deferral of Tax on Certain Shipping Companies

2.101

0.1

0.1

0.1

Charitable Deduction

2.201

6.3

6.3

7.0

Additional Deduction for Certain Businesses in a Poverty Area (UJIP)

2.202

0.2

0.2

0.2

Net Operating Loss (NOL) Carryover

2.203

141.0

142.4

143.8

Excess Natural Resource Depletion Allowance

2.204

0.1

0.1

0.1

Deduction for Certain Dividends of Cooperatives

2.205

N.A.

N.A.

N.A.

Abandoned Building Renovation Deduction

2.206

1.3

1.3

1.3

Accelerated Depreciation on Rental Housing

2.301

8.7

8.0

7.3

Accelerated Depreciation for Rehabilitation of Low-Income Housing

2.302

N.A.

N.A.

N.A.

Expensing for Removal of Barriers to the Handicapped

2.303

0.3

0.3

0.3

Five-Year Amortization of Start-Up Cost

2.304

0.3

0.3

0.3

Accelerated Cost Recovery System (ACRS) for Equipment

2.305

166.0

168.9

176.1

Deduction for Excess First-Year Depreciation

2.306

4.6

4.6

4.6

Accelerated Depreciation on Buildings (other than Rental Housing)

2.307

22.7

18.5

13.5

Expensing Research and Development Expenditures in One Year

2.308

39.4

42.7

46.0

Expensing of Exploration and Development Costs

2.309

0.1

0.1

0.1

Five-Year Amortization of Certain Operating Rights

2.310

N.A.

N.A.

N.A.

Five-Year Amortization of Pollution Control Facilities

2.311

N.A.

N.A.

N.A.

Expensing of Certain Expenditures for Alternative Energy Sources

2.312

0.5

0.5

0.6

Seven-Year Amortization for Reforestation

2.313

N.A.

N.A.

N.A.

Unequal Weighting of Sales, Payroll, and Property in Apportionment Formula

2.401

137.8

195.1

217.5

Nontaxation of Certain Energy Property

2.501

N.A.

N.A.

N.A.

Exemption for Property Subject to Local Taxation

2.502

85.6

89.0

92.0

Tax Credit for Building in a Poverty Area (UJIP)

2.601

0.1

0.1

0.1

Investment Tax Credit3

2.602

35.0

32.0

31.0

Vanpool Credit

2.603

1.4

1.5

1.5

Research Credit

2.604

74.5

76.5

76.9

Economic Opportunity Area Credit

2.605

0.8

0.8

0.8

Credit for Employing Former Full-Employment Program Participants

2.606

N.A.

N.A.

N.A.

Credit for Harbor Maintenance Taxes Paid

2.607

N.A.

4.0

4.0

Exemption of Credit Union Income

2.701

3.8

4.0

4.2

Tax-Exempt Organizations

2.702

N.A.

N.A.

N.A.

Exemption for Regulated Investment Companies

2.703

N.A.

N.A.

N.A.

Subtotal ²

735.2

802.1

834.3

Exemption for Sales to the Federal Government

3.001

N.A.

N.A.

N.A.

Exemption for Sales to the Commonwealth

3.002

N.A.

N.A.

N.A.

Exemption for Sales to Tax-Exempt Organizations

3.003

295.0

303.9

316.1

Exemption for Food

3.101

346.7

349.4

352.0

Exemption for Certain Food and Beverages Sold in Restaurants

3.102

N.A.

N.A.

N.A.

Exemption for Clothing

3.103

202.5

204.0

205.6

Exemption for Medical and Dental Supplies and Devices

3.104

91.7

92.4

93.1

Exemption for Water

3.105

29.9

30.1

30.3

Exemption for Newspapers and Magazines

3.106

22.4

22.6

22.8

Exemption for the American Flag

3.107

N.A.

N.A.

N.A.

Exemption for Certain Precious Metals

3.108

N.A.

N.A.

N.A.

Exemption for Cement Mixers

3.109

N.A.

N.A.

N.A.

Exemption for Fertilizers, Insecticides and Fungicides

3.110

1.2

1.2

1.2

Exemption for Meals Served by Continuing Care Facilities

3.111

N.A.

N.A.

N.A.

Exemption for Alcoholic Beverages

3.201

62.8

60.1

58.2

Exemption for Motor Fuels

3.202

194.4

212.3

218.9

Exemption for Items Used in Making Clothing

3.301

1.1

1.1

1.1

Exemption for Materials, Tools, Fuels, and Machinery Used in Manufacturing

3.302

165.2

173.5

182.0

Exemption for Materials, Tools, Fuels, and Machinery Used in Research and Development

3.303

20.2

21.3

22.3

Exemption for Materials, Tools, Fuels, and Machinery Used in Furnishing Power to Consumers

3.304

49.2

51.9

54.6

Exemption for Materials, Tools, Fuels, and Machinery Used in Furnishing Power to an Industrial Manufacturing Plant

3.305

13.8

13.9

14.0

Exemption for Materials, Tools, Fuels, and Machinery Used in Newspaper Printing

3.306

18.6

18.7

18.9

Exemption for Materials, Tools, Fuels, and Machinery Used in Manufacturing of Cast Metal Products

3.307

N.A.

N.A.

N.A.

Exemption for Materials, Tools, Fuels, and Machinery Used in Agricultural Production

3.308

3.8

3.9

4.1

Exemption for Materials, Tools, Fuels, and Machinery Used in Commercial Fishing

3.309

0.7

0.7

0.7

Exemption for Materials, Tools, Fuels, and Machinery Used in Radio and TV Broadcasting

3.310

1.4

1.4

1.5

Exemption for Electricity

3.401

134.9

135.9

137.0

Exemption for Fuel Used for Heating Purposes

3.402

55.2

55.6

56.0

Exemption for Piped and Bottled Gas

3.403

44.7

45.1

45.4

Exemption for Steam

3.404

4.0

4.0

4.0

Exemption for Certain Energy Conservation Equipment

3.405

N.A.

N.A.

N.A.

Exemption for Funeral Items

3.406

9.3

9.4

9.5

Exemption for a Motor Vehicle for a Paraplegic

3.407

1.0

1.0

1.0

Exemption for Textbooks

3.408

8.1

8.2

8.3

Exemption for Books used for Religious Worship

3.409

N.A.

N.A.

N.A.

Exemption for Containers

3.410

82.5

82.8

83.1

Exemption for Certain Sales by Typographers, Compositors and Color Separators

3.411

N.A.

N.A.

N.A.

Exemption for Sales of Building Materials and Supplies to be Used in Connection with Certain Construction Contracts

3.412

90.4

91.6

92.9

Exemption for Plant and Seed

3.413

0.8

0.9

0.9

Exemption of Feed

3.414

1.2

1.1

1.1

Exemption for Livestock and Poultry

3.415

N.A.

N.A.

N.A.

Exemption for Commercial Fishing Vessels

3.416

1.0

1.0

1.1

Exemption for Commuter Boats

3.417

N.A.

N.A.

N.A.

Exemption for Fuels, Supplies, and Repairs for Vessels Engaged in Interstate or Foreign Commerce

3.418

1.6

1.6

1.7

Exemption for Fuel Used in Operating Aircraft and Railroads

3.419

13.8

13.8

13.9

Exemption for Sales of Certain New and Used Buses

3.420

N.A.

N.A.

N.A.

Exemption for Films

3.421

N.A.

N.A.

N.A.

Exemption for Telephone and Telegraph Services

3.422

36.0

37.2

38.5

Nontaxation of Transfers of Real Property

3.501

1,030.7

1,074.7

1,074.7

Nontaxation of Rentals of Real Property

3.502

555.3

561.7

571.7

Nontaxation of Certain Services

3.503

1,204.0

1,252.0

1,302.0

Nontaxation of Internet Access and Related Services

3.504

NA

10.0

10.0

Exemption for Casual or Isolated Sales

3.601

N.A.

N.A.

N.A.

Exemption for Vending Machine Sales

3.602

N.A.

N.A.

N.A.

Exemption for Certain Meals

3.603

5.3

5.3

5.4

Exemption for Certain Bed and Breakfast Establishments from Sales Tax on Meals and Room Occupancy Excise

3.604

N.A.

N.A.

N.A.

Exemption for Certain Summer Camps from Sales Tax on Meals and Room Occupancy Excise

3.605

0.4

0.4

0.4

Exemption for Trade-in Allowances for Motor Vehicles and Trailers

3.606

55.7

57.6

60.7

Exemptions for Publications of Tax-Exempt Organizations

3.607

2.2

2.3

2.4

Exemption for Gifts of Scientific Equipment

3.608

11.2

11.6

12.0

Exemption for Vessels or Barges 50 Tons and Over

3.609

N.A.

N.A.

N.A.

Exemption for Rental Charges for Refuse Containers

3.610

N.A.

N.A.

N.A.

Exemption for Honor Trays

3.611

N.A.

N.A.

N.A.

Subtotal ²

4,869.9

5,027.2

5,131.1