If you’ve been following my blog post contributions here at SalesTaxSupport.com, then you know I love writing about complex sales tax issues, like I did in this recent post on the Massachusetts Drop-Ship rules. But often there are Massachusetts topics that are simply practical and just as important for our readers that are responsibie for filing and remitting Massachusetts sales and use tax. And reporting on a practical “need to know” Massachusetts topic is exactly what I’ll be doing today. In this post, I’ll be highlighting Massachusetts’ new electronic filing system for business taxpayers, MassTaxConnect.
Five Important Things Massachusetts Sales and Use Tax Filers Need to Know About MassTaxConnect
The MassTaxConnect is the Massachusetts Department of Revenue's new electronic filing system which will replace Webfile for Business. The new MassTaxConnect, which is being touted by the Department of Revenue (DOR) as a significant upgrade and enhancement from the DOR’s existing filing system, will have many new features not found in Webfile for Business. While there are several important things to know about MassTaxConnect - if I had to choose five things Massachusetts sales and use tax filers should know, here they are:
- MassTaxConnect Goes Live November 30th: The current Webfile for Business electronic filing platform will be completely replaced by MassTaxConnect which will go live on November 30th. Therefore, for Massachusetts monthly sales and use tax filers, the October monthly return due by November 20th, will be the final sales and use tax return filed via Webfile for Business. Note that as part of the transition, WebFile for Business will go down and no longer be available as of midnight on November 20th.
- MassTaxConnect Will Use the Same WebFile for Business Login Credentials – And All Will Transition Seamlessly: In an effort to make the transition seamless, a current WebFile for Business user will be able to access the MassTaxConnect electronic filing system using the same username and password. A user’s account information, including third party assignments, will all carryover to MassTaxConect.
- MassTaxConnect Will Allow Users to Securely Communicate with the Department of Revenue: As a state tax consultant, I often joke that I spend half my day on hold waiting to speak to one state tax agency or another. So it's great to hear that MassTaxConnect will permit users to send direct and secure messages to the DOR, thereby eliminating call wait times, the back and forth of leaving voicemails, and the time spent waiting for a DOR representative to call back.
- MassTaxConnect Will Make it Easier to View and Correct Errors Prior to Filing: Touted as one of the many benefits of MassTaxConnect, the new system will automatically notify a user when information is missing or incorrect – thereby giving the user the opportunity to make corrections before submitting their return. As anyone who has had to amend a sales tax return the “old fashion way” knows – it’s so much easier to catch errors and correct them before a return is submitted. By the way, this brings up another enhancement offered in the new MassTaxConnect – the ability to file amended returns electronically.
- MassTaxConnect Will Offer a One-Stop Filing Spot for All Business Taxes: By the end of 2015, almost all business tax types will be part of MassTaxConnect. Taxpayers will no longer need to log into the different Massachusetts online filing systems to file and pay their different Massachusetts business taxes.
There’s lots more to know about the new MassTaxConnect, including how new users can register and enroll in the system on or after November 30th once the new system is live, as well as it's many other benefits. But don’t just take my word for it – take a look at that vast resources and information the Massachusetts DOR has available to help business taxpayers learn more about MassTaxConnect.
- Welcome to MassTaxConnect - Available to Business Taxpayers November 30, 2015
- MassTaxConnect Frequently Asked Questions (FAQ) Webpage
- A Comparison of the MassTaxConnect Screens to WebFile for Business
- MassTaxConnect Demo
If you’re a Massachusetts sales and use tax filer – you’ll want to get ready for MassTaxConnect!
Other recent “Massachusetts (MA)” posts by Sylvia F. Dion, CPA:
- Amazon Exposes FBA Sellers in Massachusetts: 5 Key Considerations
- Massachusetts Expands Sales Tax Nexus Policy for Internet Vendors
- The Massachusetts DOR Website - A Great (Sales) Tax Resource
- MassTaxConnect - 5 Things Massachusetts Sales Tax Filers Should Know
- Massachusetts Sales Tax Holiday Is Consumer Perk – But Retailer Pain