Statement of Purpose, Applicable Tax Years, Outline of Topics

(a) Purpose. Pass-through entity withholding is a payment of personal income tax under M.G.L. c. 62 or corporate excise under M.G.L. c. 63 on behalf of members of a pass-through entity. The obligation to withhold is separate from the member's or pass-through entity's obligation to file a tax return. Pass-through entities must withhold as to all members unless either the pass-through entity or the member is exempt.

(b) Applicable Tax Years. Withholding is required on a member's distributive share amounts allocated on or after January 1, 2009 that are attributed to a tax year beginning on or after January 1, 2009.

(c) 830 CMR 62B.2.2 is organized as follows:

Statement of Purpose, Applicable Tax Years, Outline of Topics

Definitions

Pass-Through Entities Required to Withhold; Members Subject to Withholding

Income Subject to Withholding; Quarterly Payment

Tiered Structures

Credit for Tax Paid; Members' Estimated Payment Obligation

Joint and Several Liability

Annual Schedule, Withholding Registration, Payment, Reporting

Penalties