Massachusetts 2016 Tax Amnesty Program

The Massachusetts Department of Revenue has advised that a tax amnesty will be available to businesses and individuals who are currently non-registrants, non-filers or under reporters. This is an opportunity to report and remit taxes owed with penalties being waived.  The amnesty will also apply to those presently under audit or who have received a notice of failure to file.

The program will be open April 1st and run through May 31st 2016 covering most tax type’s administered by the Massachusetts Department of Revenue including sales tax, use tax, and employee withholding tax.

The program will cover all returns which would have been due on or before December 31, 2015 going back three years.  The Massachusetts Department of Revenue has set up a convenient amnesty online return process allowing for electronic filing and payment of taxes as well as interest. 

There are some exceptions; the program is not available to taxpayers who previously filed a false or fraudulent return or statement.  In addition, requests for refunds will not be accepted.  Tax payers who utilize the 2016 Massachusetts program are not permitted to participate in future tax amnesty programs until after 2025.  It is also important to note that amnesty returns can be included in future audits.

Businesses should take this opportunity to review their records and evaluate if they can increase their compliance and benefit from this program.  The risks of not taking advantage of this program could be great if it is later determined tax due was not reported or there was a failure to register when required.  There is no statute of limitations on unfiled returns and increased penalties could be issued for under-reporting or not reporting taxes due.

For more details on how this program can benefit your business please contact us at tax@allynintl.com or visit the Massachusetts Department of Revenue website at http://www.mass.gov/dor/breaking-news/amnesty/tax-amnesty-info.html.

Tips for the Taxpayer

Regularly review business changes to identify any new locations where you may now have nexus and verify if this triggers a requirement for registration of state sales and use tax. 

When states offer amnesty programs take the opportunity to review your filing obligations in that state and confirm if there was a failure to file during the period covered by the amnesty or any under reported tax.

For More Information

If you are interested in learning more about this topic or other tax topics, please visit our Tax Publications under News and Events at www.allynintl.com.

How Can We Help?

Allyn’s tax team is staffed with seasoned tax professionals experienced in all aspects of Federal, multi-state and local tax compliance and consulting for large US and global corporations.  We use that experience to your advantage.

Allyn files state and local sales and use tax returns in every US taxing jurisdiction.  We can manage your tax compliance, create a solid tax process, and provide audit defense for your company.

Contact us and we can provide a customized cost-effective solution to meet your company’s needs.  For further information on Allyn Tax services, please contact: tax@allynintl.com.

About Allyn International

Allyn International is dedicated to providing high quality, customer centric services and solutions for the global marketplace. Allyn's core products include transportation management, logistics sourcing, freight forwarding, supply chain consulting, tax management and global trade compliance.  Allyn clients range from small local businesses to Fortune 500 firms. Allyn conducts business in more than 20 languages and has extensive experience in both developed and emerging markets. Highly trained experts are positioned throughout North America, Europe and Asia and Allyn regional headquarters are strategically located in Fort Myers FL USA, Shanghai P.R. CHINA and Prague, CZECH REPUBLIC. For more information, log on to www.allynintl.com.