Overview & File Formatting Instructions
Motor vehicle insurers who make a payment pursuant to a motor vehicle insurance policy to a motor vehicle repair shop for the servicing or repair of a motor vehicle in Massachusetts are required to file an annual information return with the Commissioner and provide a copy to the motor vehicle repair shop.
DOR has issued a regulation, 830 CMR 62C.8.2, that explains the reporting requirement in detail.
For guidance when filing, go to MV Insurers Annual Information Return File Formatting Instructions (XLSX).
What is the Motor Vehicle Insurers Annual Information Return (MVIAIR)?
Effective January 1, 2025, motor vehicle insurers who make a payment pursuant to a motor vehicle insurance policy to a motor vehicle repair shop for the servicing or repair of a motor vehicle in Massachusetts during a calendar year are required to file an annual information return, the MVIAIR, with the Department of Revenue (DOR) and provide a copy to the motor vehicle repair shop.
How do I know if I am required to file the MVIAIR?
You are required to file the MVIAIR if:
- You’re licensed to issue motor vehicle physical damage insurance or property damage insurance for motor vehicles registered in Massachusetts; and
- You paid a motor vehicle repair shop located in Massachusetts to service or repair a motor vehicle on behalf of an insured individual or entity during the calendar year.
What is the due date for the MVIAIR?
All MVIAIRs for a calendar year must be provided to the motor vehicle repair shops on or before January 31st following the close of the calendar year and be filed with the Commissioner by March 31st following the close of the calendar year.
What information is required on the MVIAIR?
The MVIAIR must include information on all payments you made during the calendar year to any motor vehicle repair shop for the servicing or repair of a motor vehicle in Massachusetts pursuant to a motor vehicle insurance policy, including the:
- Name of the motor vehicle repair shop;
- Federal identification number of the motor vehicle repair shop;
- Motor vehicle repair shop’s physical address, or, if unavailable, its mailing address;
- Professional license or registration number of the motor vehicle repair shop (if available);
- Total amount of payments made by the motor vehicle insurer to the motor vehicle repair shop for the servicing or repair of a motor vehicle in Massachusetts during the calendar year;
- Total amount of such payments that are attributable to the payment of Massachusetts sales and use tax in relation to the servicing or repair of a motor vehicle.
How to file the MVIAIR?
To file the MVIAIR, log in to MassTaxConnect, then:
- Choose the More… tab
- In the Submit files box, choose Report MV Insurers Annual Information Return
- Choose the Filing Year you are reporting
- Enter the Payee. You have two options for entering payee information:
- Upload the payee details using an Excel template, or
- Enter the payee information manually
- Follow the remaining prompts
- Click on Submit to file the MVIAIR.
What if I need to correct a previously filed return?
You can submit corrected returns electronically through MassTaxConnect.
How can I provide a copy of the MVIAIR to the motor vehicle repair shop?
You may send a copy of the MVIAIR to the motor vehicle repair shop by mail, email, or any other physical or digital means appropriate for transmitting business records. The copy of the MVIAIR provided to the motor vehicle repair shop must contain the same information required to be on the return filed with the Commissioner and may be formatted in any reasonable manner.
If you have made payments to more than one motor vehicle repair shop, you should only share the information that relates to the specific motor vehicle repair shop. Do not share information related to other motor vehicle repair shops.
Do I have to report on the MVIAIR amounts paid by a third-party administrator that I use to handle and pay claims?
Yes, motor vehicle insurers must report all of the payments they make to motor vehicle repair shops in Massachusetts for the repair or servicing of a motor vehicle on behalf of an insured individual or entity, regardless of whether the payments are made directly or indirectly through a third-party administrator.
How do I determine the amount of payments attributable to sales tax?
Generally, motor vehicle insurers receive an itemized appraisal or final invoice associated with a particular motor vehicle repair which separately states the amounts attributable to parts, labor, and sales tax from the motor vehicle repair shop. The motor vehicle insurer should use this to identify the amount of their payment that is attributable to sales tax and report this amount on the MVIAIR. Motor vehicle insurers are not expected to calculate sales tax on motor vehicle repair transactions on behalf of motor vehicle repair shops.
In some circumstances, the amount the motor vehicle insurer actually pays to a motor vehicle repair shop may be different from the total itemized appraisal or final invoice amount, such as where an insured’s deductible applies, where a claim is settled for a lesser amount, or where the payment for the repair of a motor vehicle is split between multiple motor vehicle insurers due to comparative negligence. In these circumstances, a motor vehicle insurer shall approximate the amount attributable to sales tax by multiplying the amount of sales tax reported on the itemized appraisal or final invoice by the ratio that the motor vehicle insurer’s actual payment to the motor vehicle repair shop bears to the total itemized appraisal or final invoice amount.
Example: The cost of a motor vehicle repair is appraised at $5,000. The itemized appraisal shows $4,000 for parts and $250 of sales tax for those parts ($4000 x 6.25%).
Where a motor vehicle insurer ultimately pays $3,000 to a motor vehicle repair shop, or 60% of the appraised amount, the motor vehicle insurer may report 60% of $250, or $150, as the amount attributable to sales tax.
Do I have to file an MVIAIR if I don’t make any payments to a motor vehicle repair shop during the calendar year?
No, only motor vehicle insurers that make payments to motor vehicle repair shops for the repair or servicing of a motor vehicle in Massachusetts during the calendar year are required to file an MVIAIR. Motor vehicle insurers are not required to file an MVIAIR to report that they did not make any payments.
Are there penalties for failing to file the MVIAIR?
In general, motor vehicle insurers will be subject to penalties imposed by law for each failure to file the MVIAIR, and DOR generally expects motor vehicle insurers to comply with the new requirements.
Special rules for MVIAIR for calendar year 2025
DOR acknowledges that some motor vehicle insurers making payments in calendar year 2025 may not have had sufficient time to collect all the information needed to fully comply with the requirements of the MVIAIR. In such a case, a motor vehicle insurer must make a good faith effort to obtain all of the required information and submit all available information by the due date. DOR will work with any motor vehicle insurer that has made such a good faith effort, including waiving penalties where appropriate.
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