2023 Massachusetts General Laws › Part I - Administration of the Government › Title IX - Taxation › Chapter 62f - Limitation on the Growth of State Tax Revenues › Section 2 - Definitions

Section 2. For the purposes of this chapter the following definitions apply:
''Allowable State Tax Revenues'' means for any fiscal year beginning after June 30, 1986 an amount equal to the computed maximum state tax revenues, as defined herein, for said fiscal year. Provided, however, that if the computed maximum state tax revenues for a fiscal year are less than the amount of allowable state tax revenues for the immediately preceding fiscal year, then allowable state tax revenues for said fiscal year shall be equal to the allowable state tax revenues for the immediately preceding fiscal year. Provided further, that only for the fiscal year ending on June 30, 1986, allowable state tax revenues for said fiscal year shall be equal to the net state tax revenues for said fiscal year.
''Allowable State Tax Growth Factor'' for a fiscal year means a number which equals one-third of the sum derived by adding together for each of the three calendar years ending immediately prior to said fiscal year the quotients which result for each of said calendar years from dividing total Massachusetts wages and salaries for each of said calendar years by total Massachusetts wages and salaries for the calendar year immediately preceding each of said calendar years. Provided, however, that in calculating the allowable state tax growth factor for any fiscal year, the same total for Massachusetts wages and salaries for a calendar year utilized in prior calculations involving said calendar year shall be utilized in subsequent calculations involving said calendar year, notwithstanding periodic adjustments by the Bureau of Economic Analysis of the United States Department of Commerce made in total Massachusetts wages and salaries for said calendar year.
''Commissioner'' means the Commissioner of Revenue as defined in section four (a) of chapter seven of the general laws.
''Computed Maximum State Tax Revenues'' means for any fiscal year beginning after June 30, 1986 an amount determined by multiplying the computed maximum state tax revenues for the immediately preceding fiscal year by the allowable state tax growth factor, as defined herein, for the then current fiscal year. Provided, however, that only for the fiscal year ending on June 30, 1986, computed maximum state tax revenues for said fiscal year shall be equal to the net state tax revenues for said fiscal year.
''Excess State Tax Revenues'' means the amount by which net state tax revenues, as defined herein, for a fiscal year exceed the allowable state tax revenues, as defined herein, for said fiscal year.
''Local Governmental Unit'' means any city, town, county, district or other political subdivision of the Commonwealth.
''Massachusetts Wages and Salaries'' means the most current data on annual wages and salaries of citizens of the Commonwealth for the most recently completed calendar year as compiled by the Bureau of Economic Analysis of the United States Department of Commerce, or its successor agency.
''Net State Tax Revenues'' means state tax revenues, as defined herein, as decreased by the amount of state tax revenues abated or refunded.
''State Tax Revenues'' means the revenues of the Commonwealth from every tax, surtax, receipt, penalty and other monetary exaction, and interest in connection therewith, including but not limited to, taxes and surtaxes on personal income, excises and taxes on retail sales and use, meals, motor vehicle fuels, businesses and corporations, public utilities, alcoholic beverages, tobacco, inheritances, estates, deeds, room occupancy and pari-mutuel wagering; but excluding federal reimbursements, proceeds from bond issues, earnings on investments, tuitions, fees, service charges and other departmental revenues, and revenues directly attributable to the additional taxes levied pursuant to section eighty-eight of chapter six hundred and eighty-four of the Acts of nineteen hundred and seventy-five.
''Taxable Year'' means the taxable year as defined in the Internal Revenue Code of the United States as from time to time amended.