Opinion  EC-COI-79-23

Date:	02/21/1979
Organization:	State Ethics Commission

Section 4 prohibits a state employee from preparing, for compensation, state tax returns, because that is a matter of "direct and substantial interest" to the Commonwealth.

Discussion

You are employed by a state agency.   

Question

You ask whether General Laws Chapter 268A, the Commonwealth's Conflict of Interest statute, prohibits you from preparing federal and state tax returns for compensation.

Discussion

       In rendering this opinion, the Commission has been guided by, and will continue to follow for the near future, the interpretations and opinions of the Attorney General issued prior to November 1, 1978, the effective date of the Commission's jurisdiction over Chapter 268A matters.  A state employee who prepares, for compensation, state tax returns violate § 4.  See Attorney General Conflicts Opinion No. 645.  While the Commission has not committed itself permanently to adhere to the Attorney General's conclusion, we concur with it for the present time. Therefore, you are prohibited from preparing, for compensation state tax returns. The Attorney General has also held that federal tax returns are not "particular matters" in which the Commonwealth or a state agency is a party or has a direct and substantial interest.  Accordingly, there is no violation of § 4 in the receipt of compensation by a state employee for the preparation of federal tax returns.

       Although there may be no potential criminal liability under Chapter 268A, § 23 authorizes the head of an agency to prescribe supplemental standards of conduct for agency employees.  The guidelines issued by the head of your agency do prohibit employees from preparing federal tax returns for compensation. The Ethics Commission, consistent with the policy of the Attorney General, has declined to review the finding and sanctions of the head of your agency.

 

End Of Decision