The Commonwealth of Massachusetts
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PETITION OF:
The Commonwealth of Massachusetts
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PETITION OF:
Gale D. Candaras
Timothy J. Toomey, Jr.
Denis E. Guyer
Kevin G. Honan
David Paul Linsky
Barbara A. L'Italien
Paul J. Donato
John W. Scibak
Peter V. Kocot
Matthew C. Patrick
Martha M. Walz
Ruth B. Balser
Stephen Kulik
William Smitty Pignatelli
Louis L. Kafka
Carl M. Sciortino, Jr.
Christopher N. Speranzo
Angelo J. Puppolo, Jr.
Stephen Stat Smith
Jennifer M. Callahan
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In the Year Two Thousand and Seven.
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An Act providing that tobacco advertising not be allowed as a business tax deduction. |
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. Chapter 62 of the General Laws is hereby amended by inserting after section
3 the following section:—
Section 3A. In determining profit or loss for a business or partnership, no
deduction shall be allowed for any expenses paid or incurred by the taxpayer to
advertise the sale, use, or other consumption of cigarettes or any other products
containing tobacco.
For purposes of this section, “advertise” includes the use of a newspaper,
magazine or other publication, book, notice, circular, pamphlet, letter,
handbill, tip sheet, poster, bill, sign, placard, card, label, tag, window
display, store sign, or any other means or methods now or hereafter employed to
sell or promote cigarettes or any other products containing tobacco.
For purposes of this section, advertising includes all cigarette and tobacco
product advertising done by tobacco manufacturers, distributors, and retailers.
In cases where the advertising space is shared by several products, including
cigarettes or any other products containing tobacco, the tobacco portion of the
advertisement shall be prorated for disallowance of the deduction.
This section shall not apply to advertising aimed at discouraging smoking or
the use of cigarettes or any other products containing tobacco.
SECTION 2. Chapter 63 of the General Laws is hereby amended by inserting after
section 38P the following section:—
Section 38Q. In determining the net income subject to taxation under this
chapter, a domestic or foreign corporation shall not be allowed a deduction for
any expenses paid or incurred by the taxpayer to advertise the sale, use or
other consumption of cigarettes or any other products containing tobacco.
For purposes of this section, “advertise” includes the use of a newspaper,
magazine or other publication, book, notice, circular, pamphlet, letter,
handbill, tip sheet, poster, bill sign, placard, card, label, tag, window
display, store sign, or any other means or methods now or hereafter employed to
sell or promote cigarettes or any other products containing tobacco.
For purposes of this section, advertising includes all cigarette and tobacco
product advertising done by tobacco manufacturers, distributors, and retailers.
In cases where the advertising space is shared by several products, including
cigarettes or any other products containing tobacco, the tobacco portion of the
advertisement shall be prorated for disallowance of the deduction.
This section shall not apply to advertising aimed at discouraging smoking or
the use of cigarettes or any other products containing tobacco.