PETITION OF:

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In the Year Two Thousand and Seven.

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An Act relative to tax deductions for certain business expenses.

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. Paragraph (1) of subsection (d) of section 2 of chapter 62 of the General Laws, as appearing in the 2002 Official Edition, is hereby amended by adding the following subparagraph:—

(O) The deduction allowed by section 179 of the Code, as it pertains to any motor vehicle designed for use on public ways that is: (a) rated at more than 6,000 pounds, but not more than 14,000 pounds gross vehicle weight; (b) designed to seat not more than 9 passengers, including the driver; and (c) equipped with an open cargo area having an interior length of not less than 72 inches or does not have a covered box with an interior length of not less than 72 inches that is separate from the passenger compartment; provided, however, that this subparagraph shall not apply to any such vehicle that is used predominantly: (a) in the business of farming; (b) for the purpose of transporting employees or customers of a business that is engaged in the timber or wood-products industry or cargo or equipment-related to the timber or wood-products industry; or for the purpose of transporting employees or customers of a construction business or cargo or equipment used in construction. For purposes of this subparagraph, the term, “construction business,” shall not include real estate sales operations.

SECTION 2. Paragraph (4) of section 30 of chapter 63 of the General Laws, as appearing in the 2002 Official Edition, is hereby amended by adding the following clause:—

(v) The deduction allowed by section 179 of the Code, as it pertains to any motor vehicle designed for use on public ways that is: (a) rated at more than 6,000 pounds, but not more than 14,000 pounds gross vehicle weight; (b) designed to seat not more than 9 passengers, including the driver; and (c) equipped with an open cargo area having an interior length of not less than 72 inches or does not have a covered box with an interior length of not less than 72 inches that is separate from the passenger compartment; provided, however, that this subparagraph shall not apply to any such vehicle that is used predominantly: (a) in the business of farming; (b) for the purpose of transporting employees or customers of a business that is engaged in the timber or wood-products industry or cargo or equipment-related to the timber or wood-products industry; or for the purpose of transporting employees or customers of a construction business or cargo or equipment used in construction. For purposes of this subparagraph, the term, “construction business,” shall not include real estate sales operations.