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Taxes & Incentives
Learn about what the Commonwealth has to offer in the way of business tax incentives, credits and programs.
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The Economic Development Incentive Program (EDIP) is a tax incentive program designed to foster job creation and stimulate business growth throughout the Commonwealth. Participating companies may receive state and local tax incentives in exchange for job creation, manufacturing job retention and private investment commitments.
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Tax Information for businesses classified as sole proprietorships, corporations, partnerships, limited liability companies (LLC), limited liability partnerships (LLP), and other resouces regarding busines tax liabilities.
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The Massachusetts Investment Tax Credit (ITC) offers a three-percent credit for qualifying businesses against their Massachusetts corporate excise tax. The credit is to be used for the purchase and lease of qualified tangible property used in the course of doing business.
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The R&D tax credit closely resembles the federal credit program, however, it specifically offers qualifying Massachusetts companies many unique features for doing business in Massachusetts.
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The Single Sales Factor adds to the attractive tax environment for businesses in Massachusetts - while many states use a three-factor apportionment formula to determine the net income, creating a greater burden for businesses, Massachusetts only uses a single sales factor apportionment formula.
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Massachusetts' version of Tax Increment Financing allows municipalities to provide flexible targeted incentives to stimulate job-creating development.
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