Thousands of Massachusetts business owners will have to apply for tax extensions next week, as a bill that will write off millions in taxes owed on federal loans made amid the pandemic is unlikely to pass both branches. of the Legislative Assembly by Monday’s filing deadline.
House lawmakers on Thursday introduced a bill 155-0 that will exempt businesses from tax on canceled loans from the Paycheck Protection Program, freeze unemployment rates at two years, waive fees and some taxes for some unemployed workers and will extend paid vacation pay.
“We are trying to help small businesses get back on their feet and the more money we can keep in the hands of small business owners, the better off we will all be,” said House Speaker Ronald Mariano. the vote. “It allows them to hire more people with the rate freeze, P3 forgiveness allows them to keep capital.”
The bill expands legislation previously introduced by Governor Charlie Baker to protect business owners from a 60% unemployment insurance rate hike that allegedly hit in April.
“We couldn’t let PPP loan recipients go through this,” said Rep. Michael Soter, R-Bellingham, who introduced the bill to House Minority Leader Bradley Jones. “As a former small business owner, I myself have made this change a priority for this session. For many, PPP loans meant keeping the doors open and maintaining their livelihoods. This is an important first step in relaunching these activities. “
The bill is now heading to the Senate where it is unlikely to be put to a vote until next Thursday.
The delayed Senate action means businesses statewide will have to file tax extension requests to avoid the fees, as the first quarter tax deadline arrives on Monday.
With the Senate unanimously passing an extension of the postal ballot without excuse for state and municipal special elections, both branches of the state legislature have now approved that the reforms of the votes inspired by the pandemic last until June 30, paving the way for a future. debate on whether to keep changes in place permanently beyond the public health crisis.
The measure was passed in the House on March 1 and is now transferred to Baker’s office for proclamation.
In addition, Senate Minority Leader Bruce Tarr has tabled a debate on Baker’s amendments to a sweeping climate bill that aims to achieve net zero carbon emissions by 2050.
Herald Wire Services contributed to this report.