Origin: Taxpayers are allowed to claim a credit for amounts expended to remediate contaminated property owned or leased for business purposes and located within an economically distressed area. The Brownfields credit may be claimed by a business corporation that commences and diligently pursues an environmental response action and achieves and maintains a permanent solution or remedy operation status in compliance with chapter 21E. Taxpayers may sell, transfer, or assign the credit. The environmental response action must be commenced on or before August 5, 2028, and eligible costs that qualify for the credit must be incurred before January 1, 2029. The credit may be carried forward for up to 5 years. The amount of the credit varies according to the extent of the environmental remedy. If the taxpayer's permanent solution or remedy operation status includes an activity and use limitation, then the amount of the credit is 25% of the net response and removal costs incurred by the taxpayer. However, if there is no activity and use limitation, then the amount of the credit is 50% of the net response and removal costs.
Origin: M.G.L. c. 63, §38Q.
Corporate Excise Tax
Credits Against Tax
2.608
Brownfields Credit
Taxpayers are allowed to claim a credit for amounts expended to remediate contaminated property owned or leased for business purposes and located within an economically distressed area. The Brownfields credit may be claimed by a business corporation that commences and diligently pursues an environmental response action and achieves and maintains a permanent solution or remedy operation status in compliance with <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter21e" target="_blank">chapter 21E</a>. Taxpayers may sell, transfer, or assign the credit. The environmental response action must be commenced on or before August 5, 2028, and eligible costs that qualify for the credit must be incurred before January 1, 2029. The credit may be carried forward for up to 5 years. The amount of the credit varies according to the extent of the environmental remedy. If the taxpayer's permanent solution or remedy operation status includes an activity and use limitation, then the amount of the credit is 25% of the net response and removal costs incurred by the taxpayer. However, if there is no activity and use limitation, then the amount of the credit is 50% of the net response and removal costs.
M.G.L. <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter63/Section38q" target="_blank">c. 63, §38Q</a>.
22.2
23.2
24.2
25.3
26.5
