News & Insights

COVID-19 Tax Developments in Massachusetts

Tax Development Apr 24, 2020

COVID-19 Tax Developments in MassachusettsThis week, the Massachusetts Department of Revenue issued a Technical Information Release (TIR)1 and a Directive2, both relating to issues coming out of the work-from-home orders in the state. The TIR explains that the state will not confer nexus for tax purposes based upon employees working from home. However, personal income tax withholding will still be required for employees that normally work in Massachusetts, even if they are temporarily working from home outside the state. The TIR is effective from March 10, 2020 until the expiration of the stay-at-home order.

The Directive allows for a taxpayer to sign administrative forms with an electronic signature. The forms signed by electronic signature must also be accompanied by a statement that validates the signature.

1 Mass. Dep’t of Revenue, Tech. Info. Release TIR 20-5, April 21, 2020.
2 Directive 20-1.

TECHNICAL INFORMATION CONTACT:

Mark L. Nachbar
Principal
Ryan
213.627.1719
mark.nachbar@ryan.com

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