Tax deadline delay
Small business sales and meals levies postponed
Beacon Hill leaders will further delay tax deadlines for small businesses around the state in another step aimed at lessening pressure on those hit hardest by the economic downturn that the pandemic prompted.
Sales, meals and room occupancy taxes for qualifying businesses for March through August will not be due to the state until September, and those that wait will not face any penalties or interest, Gov. Charlie Baker and legislative leaders announced Thursday.
Under the administrative tax relief measures, any businesses that paid less than $150,000 in regular sales plus meal taxes or less than $150,000 in room occupancy taxes in the year ending Feb. 29 will qualify for relief, according to an announcement. Others will also have late penalties waived.
““These administrative changes extend tax relief measures put into place earlier in March and will allow additional support for local companies including small businesses in the restaurant and hospitality industries,” Baker said.
The administration had originally postponed collection of those taxes until June 20.
The House approved legislation this month that, among other relief steps, would waive penalties and interest on meals tax payments through the end of the year. The Senate has not yet indicated its plans for the legislation.
In a Thursday joint press release alongside Baker and
Senate President Karen Spilka, House Speaker Robert DeLeo pointed to that legislation as a complementary step.
“In addition to the House’s multifaceted restaurant relief package, we believe that a deferral of tax collections will provide the restaurant and hospitality industry with a measure of stability and clarity,”
DeLeo said.
The Department of Revenue plans to issue emergency regulations and a technical information release to implement the administrative relief measures.