Origin: Certain gains derived from sales of C corporation stock that is qualified small business stock (QSBS) are excluded from income. Additionally, certain gains on the sale of S corporation stock are taxed at a reduced rate of 3% if the S corporation is domiciled in Massachusetts and its stock otherwise generally meets the requirements of small business stock.
Origin: IRC § 1202
Tax Type
Tax Expenditure
Item Number
Item Name
Description
Origin
FY2023
FY2024
FY2025
FY2026
FY2027
Personal Income Tax
Exclusions from Gross Income
1.042
Exclusion of Gains of Qualified Small Business Stock (QSBS) Gain
Certain gains derived from sales of C corporation stock that is qualified small business stock (QSBS) are excluded from income. Additionally, certain gains on the sale of S corporation stock are taxed at a reduced rate of 3% if the S corporation is domiciled in Massachusetts and its stock otherwise generally meets the requirements of small business stock.
<a href="https://www.law.cornell.edu/uscode/text/26/1202" target="_blank">IRC § 1202</a>
40.0
28.7
27.6
32.0
33.8
Loading...