Program Overview
The Tax Incentive program is open to companies engaged in life sciences research and development, commercialization and manufacturing in Massachusetts. The program provides incentives to companies, of all sizes, looking to expand their efforts by creating new, long-term jobs in Massachusetts.
For interested companies, MLSC offers info sessions on eligibility requirements, various tax incentives available, compliance and reporting requirements, application process overview and timeline for awards. Please view info session details below for more information on dates, times, and locations.
The application period will run from Dec. 6, 2021 to Feb. 4, 2022 at 12 p.m. EST.
Status Update: The MLSC is no longer accepting applications for our 2021 Tax Incentive Program. Applicants will be notified of the status of their applications by April 28, 2022.
Eligibility & Evaluation
- Companies must be registered to do business in Massachusetts.
- Companies must employ at least 10 permanent Massachusetts FTEs (35 hours/week) as of December 31, 2021.
- Companies must commit to hiring at least 10 net new jobs in calendar year 2022 in Massachusetts and commit to retaining those jobs through December 31, 2026.
Interested applicants will be required to submit an online application. This is a one-step application process that includes information necessary for the applicant company to be certified under the Life Sciences Act. Please see sections 5 and 6 of the Solicitation for more information regarding the application process and further details on the eligibility requirements.
Companies that receive a tax incentive award are required to provide Quarterly and Annual Reports to monitor the progress of the hiring against the commitment levels, which were the basis of the award provided. Companies not in compliance with their hiring commitments will be decertified. Decertified companies must return tax incentives to the Massachusetts Department of Revenue. Please see Policies section below for the program policies regarding reporting, acquisitions, divestiture, and termination of incentives.
The deadline to apply is Feb. 4, 2022 at 12 p.m. EST.
Resources
Department of Revenue Tax Information Release on Life Sciences Tax Incentive Program
Department of Revenue Tax Information Release on calculation and recapture of Certain Life Science Tax Incentives
Life Sciences Jobs Incentive Refundable Credit
Policies
- Annual Report and Award Policy – effective March 1, 2022
- Annual Report and Award Policy – effective for all agreements executed prior to March 1, 2022
Reports
Impact on the Ecosystem
To ensure the Massachusetts’ ecosystem stays the hotbed for life sciences activity, we will continue to make investments through our Tax Incentive program to create jobs, build a robust workforce, and propel the development of new therapies, devices, and scientific advancements that are improving patient health and well-being.
To date, the Tax Incentive program has resulted in combined net new hire commitments or actual new hires of 9,276 jobs among active and completed awards. After twelve rounds of the program, 319 awards totaling more than $260 million has supported life sciences companies of all sizes, sectors and geographic distribution across Massachusetts.
Connect with us to Learn More
If you have any questions regarding the application process, e-mail: TaxProgram@masslifesciences.com.