Massachusetts Governor Signs $1 Billion Tax Relief Package

Massachusetts is poised to close a loophole on a surtax for high-income residents, overhaul the formula for calculating corporate taxes, and reduce short-term capital gains taxes under a bill signed Wednesday by Gov. Maura Healey (D).

The new law requires married taxpayers who file joint returns with the IRS to also file jointly in Massachusetts. This change is designed to close a loophole related to a 4% surtax on incomes exceeding $1 million, which the commonwealth introduced in 2022. Under the previous law, married couples earning more than $1 million could file as individuals with Massachusetts, enabling them to ...