MA S2091

Removes the federal Section 163(j) limitation on business interest deductions for Massachusetts state tax purposes, allowing businesses to fully deduct interest expenses without the federal cap tied to 30% of adjusted taxable income

Amends Chapter 62 (individual income tax) and Chapter 63 (corporate excise tax) of Massachusetts General Laws to exclude Section 163(j) and related carryforward provisions

Applies retroactively to taxable years beginning after December 31, 2017, the date when federal Section 163(j) limitations first took effect under the Tax Cuts and Jobs Act

Sponsored by Senator Bruce E. Tarr (First Essex and Middlesex); similar legislation was filed in the 2023-2024 session as Senate No. 1941