Thirty-nine states will ring in 2025 with notable tax changes, including nine states cutting individual income taxes, three states cutting corporate income taxes, and two states adopting new first-year expensing provisions.
The Tax Foundation just released an all-in-one guide highlighting all the changes set to take effect, including in Massachusetts. CLICK HERE to see the full breakdown. Key points below.
State Tax Changes Effective in 2025
- Effective January 1, 2025, Massachusetts will adopt mandatory single sales factor apportionment for corporate income tax purposes, moving away from the previous three-factor formula that included property, payroll, and double-weighted sales factors. This brings Massachusetts into alignment with the majority of states’ corporate income tax apportionment strategies.
“Recent years have seen a wave of significant tax reforms, and the changes scheduled for 2025 show that these efforts have not let up,” said Tax Foundation’s Tax Policy Analyst Joseph Johns. “The evidence of the past four years indicates that many states understand and value the importance of creating and maintaining a stable, pro-growth, and competitive tax code.”
CLICK HERE to read the full post from The Tax Foundation.
