Governor Deval Patrick's Budget Recommendation - House 1 Fiscal Year 2014

Entity Exempt from Taxation

Fiscal Year 2014 Resource Summary (in Millions)
Entity Exempt from Taxation 7.0 6.1 5.9

Hide tax item language

item description amount
Entity Exempt from Taxation 5.9
2.701 Exemption of Credit Union Income
Credit unions, which are in effect mutual business organizations, are considered tax-exempt organizations for federal income tax purposes and therefore are generally exempt from the corporate excise, except are taxable on unrelated business income.

Comment: The estimate applies to only state-chartered credit unions.

Origin:  IRC, S. 501(c)(14)(A), M.G.L. c. 63, S. 30
Estimate:  $5.9
2.702 Tax-Exempt Organizations
Corporations considered to be tax-exempt under section 501 of the Internal Revenue Code (such as religious, scientific and educational organizations) are exempt from tax under the corporate excise. The non-taxation of their net income and property creates a tax expenditure.

Origin:  IRC, S. 501, M.G.L. c. 63, S. 30
Estimate:  N.A.
2.703 Exemption for Regulated Investment Companies
Regulated Investment Companies are exempt from the corporate excise. This item constitutes a tax expenditure in Massachusetts, though it is not considered a TEB at the federal level.

Origin:  M.G.L. c. 63, S. 68C(8)
Estimate:  N.A.


IRCFederal Internal Revenue Code (26 U.S.C.)
M.G.L. Massachusetts General Laws
U.S.C United States Code
ESTIMATES All estimates are in $ millions.

top of page link top of page