By Ms. Kaprielian of Watertown, petition (accompanied by bill, House, No. 2977) of Rachel Kaprielian and Bradley H. Jones, Jr., relative to the taxation of research and development corporations in the Commonwealth.  Revenue.

The Commonwealth of Massachusetts

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PETITION OF:

Rachel Kaprielian

Bradley H. Jones, Jr.

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In the Year Two Thousand and Seven.

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An Act relative to the taxation of research and development corporations in the Commonwealth.

    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.  Section 38 C of Chapter 63 of the General Laws is hereby amended by adding at the end thereof the following:- "The provision of this section defining a domestic research and development corporation as one whose principal activity is research and development and which, during the taxable year, derives more than 2/3 of its receipts attributable to the commonwealth from the activity or incurs more than 2/3 of its expenditures attributable to the commonwealth, allocable to such activity, shall be effective from January 1, 1998."

Section 2. Section 42 B of Chapter 63 of the General Laws is hereby amended by adding at the end thereof the following:- "The provision of this section defining a foreign research and development corporation as one whose principal activity is research and development and which, during the taxable year, derives more than 2/3 of its receipts attributable to the commonwealth from the activity or incurs more than 2/3 of its expenditures attributable to the commonwealth, allocable to such activity, shall be effective from January 1, 1998."