Section 11 Surtax Implementation 6

Subsection (a) of section 5A of said chapter 62, as so appearing, is hereby amended by striking out the first sentence and inserting in place thereof the following 3 sentences:- The amount of the Part A taxable income, the Part B taxable income and the Part C taxable income, of any non-resident of the commonwealth derived from the Massachusetts gross income of such person shall be taxed in accordance with the provisions of section 4. Where the sum of Part A taxable income, Part B taxable income, and Part C taxable income exceeds $1,000,000 in a taxable year, the portion of such taxable income exceeding $1,000,000 shall be taxed in accordance with paragraph (d) of section 4. In determining such sum, any negative amount or loss in any Part of taxable income may not be applied to reduce income in any other Part or otherwise be applied to reduce such sum.

This section, along with five others, formally incorporates the 4% surtax into the Massachusetts General Laws and establishes the Education and Transportation Fund for deposit of surtax revenues.