Massachusetts Individual Income Tax Instructions

Individual Income Tax Instructions
Form 1 Instructions
Department of Revenue

Commonwealth of Massachusetts

Form 1 2024
Massachusetts

Resident Income Tax

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Before using paper, consider

Fast — Filing electronically, rather than on paper, can mean

faster processing of your refund and money in your account sooner.

Accurate — Generally, electronic filings have fewer errors than

paper forms. Online programs make it easy to ensure you don’t miss
anything important.

Ecofriendly — A great majority of Massachusetts taxpayers file
electronically. Help us to continue reducing our carbon footprint.

Affordable — Many Mass­achusetts taxpayers qualify to use

commercial tax preparation software at no charge. Check out the
free filing option through MassTaxConnect.

Give e-file a try this year!
C’mon, admit it — filing p
­ aper
tax returns is no fun! So,
forget about waiting longer
for a refund and calculation
­mistakes. E-file this year!

There are three easy and convenient ways to do it.

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File Electronically for Free
Many Massachusetts taxpayers qualify to file federal and state returns for free, en­hanc­ing fraud protection and cutting down on
identity theft. Massachusetts joined the Free File Alliance, a nonprofit partnership between tax preparation companies, the IRS and
the states to increase opportunities for taxpayers to e-file their tax returns for free. Massachusetts also partnered with the IRS
Direct File program to give you another option for filing your federal and state tax returns for free. Check out the free filing options
available to taxpayers at mass.gov/efile.
You may also be able to file your tax return online through DOR's MassTaxConnect. You qualify for this option if you were a
Massachusetts resident for the entire 2024 tax year, previously filed a Massachusetts return, and the forms you need for your return
are supported by the program.

Commercial Tax Preparation Software
You can also e-file using commercial tax filing products. Visit our website for a complete listing of approved products. Although
some of these products offer a paper filing op­tion, you may only use that option if it incorporates a 2D barcode in the right-hand
corner of all pages. If you have a 2D printing issue, contact the software manufacturer for instructions before filing to avoid
rejection of your return. Also, be sure to use the correct 2D barcode mailing address: Massachusetts Department of Revenue, PO
Box 7000, Boston, MA, 02204 for refunds/no payments or Massachusetts Department of Revenue, PO Box 7003, Boston, MA,
02204 for payments. See DOR’s online tax form instructions for more in­formation.

Tax Preparers
The majority of paid tax preparers recognize that their clients don’t want mistakes, delays, or longer refund times so they offer
e-filing for their customers. Moreover, Massachusetts law requires any preparer who completes more than 10 Massachusetts
income tax returns to e-file (TIR 11-13 has a specific taxpayer opt-out provision to this law). Preparers who do file paper returns
for their clients have specific requirements they must meet to avoid paying penalties and fines. You’ll find a list of preparers on the
DOR website.
You may qualify for assistance with preparing your tax returns. Check out options at mass.gov/taxassistance.

mass.gov/efile
If Paper is Your Only Option
For some, filing on paper may be the only option. DOR now offers fillable PDF forms to complete your tax return, which makes the processing of your return
easier and avoids delays. You can directly enter your tax information and print and send it to DOR. For more information, see mass.gov/dor/incomeforms.

2024 Form 1 Instructions 	

Major 2024
Tax Changes

3
Penalty for Failure to Obtain Health
Insurance

The tax rate on most classes of tax­able income
is 5%. The tax rate on long-term gains from the
sale or exchange of collectibles is 12% (subject
to a 50% deduction). For tax years beginning on
or after January 1, 2023, the tax rate on shortterm gains from the sale or exchange of capital
assets is 8.5%.

Massachusetts requires most adults 18 and over
with access to affordable health insurance to obtain it. In 2024, individuals must be enrolled in
health insurance policies that meet minimum
creditable coverage standards defined in regulations adopted by the Commonwealth Health Insurance Connector Authority (Health Connector).
Individuals who are deemed able to afford health
insurance but fail to obtain it are generally subject
to penalties in Massachusetts for each month of
noncompliance in the tax year. The monthly penalties for 2024, which will be imposed through
the individual’s personal income tax return, are
set out in TIR 24-1 and are based on the monthly
insurance premium for which an individual would
have qualified through the Health Connector.

4% Surtax on Taxable Income Over $1
Million

Annual Update of Circuit Breaker Tax
Credit

For more up-to-date and detailed information and
to view all of the public written statements referenced in these instructions, visit mass.gov/dor.

Filing Due Dates

Form 1 is due on or before April 15, 2025.

2024 Personal Income Tax Rates

Starting with tax year 2023, personal income taxpayers must pay an additional 4% (4% surtax) on
taxable income over $1,000,000, increased annually for inflation (surtax threshold). For the 2024
tax year, the threshold is $1,053,750. See Technical Information Release (TIR) 23-12 and the 4%
Surtax FAQs for more information.

Changes to Massachusetts joint filing
requirements

For tax years beginning on or after January 1,
2024, married couples must file a joint personal
income tax return for any year in which they file a
joint federal income tax return, unless an exception applies. See TIR 24-4 and proposed regulation 830 CMR62.5A(11), Non-Resident Income
Tax for additional information.

Repeal of the Deduction of Interest from
Massachusetts banks

Effective for taxable years beginning on or after
January 1, 2024, the deduction previously allowed for a deduction of up to $100 ($200 for
joint filers) of interest from Massachusetts banks
is repealed.

Employer-Provided Parking, Transit Pass,
and Commuter Highway Vehicle Benefits
Exclusion Amounts

Massachusetts conforms to the federal income
exclusion for employer-provided parking, transit pass, and commuter highway vehicle transportation benefits. The IRS has determined that
the 2024 inflation-adjusted monthly exclusion
amounts are $315 for employer-provided parking and $315 for combined transit pass and commuter highway vehicle transportation benefits.

Taxpayers aged 65 or older who own or rent residential property located in Massachusetts are allowed a credit equal to the amount by which their
total real estate tax payments, or 25% of their rent
in the case of a renter, exceeds 10% of the taxpayer’s total income. The credit cannot exceed a
certain maximum amount that is determined by
multiplying a statutory base amount by a cost-ofliving adjustment for the calendar year in which
the taxable year begins. The maximum credit for
tax year 2024 is $2,730.
The amount of the credit is subject to limitations
based on the taxpayer’s total income and the assessed value of the real estate, which for tax year
2024 must not exceed $1,172,000. For purposes
of calculating the credit, total income and maximum credit thresholds are adjusted annually for
inflation. For tax year 2024, an eligible taxpayer’s
total income cannot exceed $72,000 in the case
of a single filer who is not a head of household
filer; $91,000 in the case of a head of household
filer; and $109,000 in the case of a joint filer. To
qualify for the credit, a taxpayer must be age 65
or older and must occupy the property as his or
her principal residence.

Child and Family Tax Credit

Effective for taxable years beginning on or after
January 1, 2024, the refundable, non-transferable
child and family tax credit (“CFTC”) for taxpayers
who maintain a household that includes certain
individuals increases from $310 to $440 for each
such individual, with no limit to the number of
such individuals that may qualify for the credit.
See TIR 24-4 for additional information.

In addition, starting with tax years beginning on or
after January 1, 2024, a noncustodial parent may
claim the credit with respect to a child dependent
that is age 13 or older and who is physically or
mentally incapable of caring for himself or herself.
See TIR 24-13 for additional information.

Expansion of Septic Credit

Effective for tax years beginning on or after January 1, 2024, the credit for expenses incurred in
repairing or replacing failed cesspool or septic
systems has been expanded to included expenses
incurred for repairs, replacements, upgrades or
sewer connections that are required by Title 5 of
the State Environmental Code, 310 CMR 15.000,
or a watershed permit issued by the Department
of Environmental Protection. See TIR 24-14 for
additional information.

Temporary Authorized Training Tax Credit
for Emergency Assistance

A new credit takes effect for tax years beginning
on or after January 1, 2024. The credit is available
to businesses that provide training to individuals
receiving benefits through the Massachusetts
emergency housing assistance program. The
credit is equal to $2,500 for each such employee.
The credit is temporary. It is available only for tax
years during which the emergency housing assistance program is subject to capacity limitations.
The credit is no longer available as of January 1,
2026. See TIR 24-7 for additional information.

Qualified Veterans Hire Tax Credit

For tax years beginning on or after January 1,
2024, the qualified veterans hire tax credit for
qualified employers that hire eligible veterans increases from $2,000 to $2,500. See TIR 24-15,
Tax Provisions in An Act Honoring, Empowering,
and Recognizing Our Servicemembers and Veterans, for additional information.

Repeal of the Angel Investor Tax Credit

The Angel Investor Tax Credit (AITC), is repealed
effective for tax years beginning on or after January 1, 2024. The AITC was previously allowed
under MGL ch 62, § 6(t), and was awarded by the
Massachusetts Life Sciences Center for certain
investments in designated development projects.
A taxpayer that has unused AITC from a tax year
beginning before January 1, 2024 may carry such
unused credit forward and use it in tax years beginning on or after January 1, 2024, subject to the
limitations under 830 CMR 62.6.5(11).

2024 Form 1 Instructions 	
Updated IRC Conformity Date ("Code
Update")

In general, a taxpayer’s Massachusetts gross income and many deductions are based on the taxpayer’s federal gross income and deductions under
the IRC as of a specific date. For tax years beginning on or after January 1, 2024, the Massachusetts personal income tax generally conforms to
the IRC as amended on January 1, 2024. The Massachusetts personal income tax previously conformed to the IRC as amended on January 1, 2022.
As a result of this update, the Massachusetts personal income tax will now conform to federal tax
law changes affecting the determination of Massachusetts gross income and deductions that
have been enacted since 2022. See TIR 24-14.
As a general rule, Massachusetts does not conform to any personal income tax law changes to
the IRC made after January 1, 2024. However,
certain specific Massachusetts personal income
tax provisions, as set forth in MGL ch 62, § 1(c),
automatically conform to the IRC currently in effect. The provisions of the IRC that Massachusetts conforms to on a current basis include those
provisions relating to:
◗	 Roth IRAs;
◗	 IRAs;
◗	 The exclusion for gain on the sale of a principal
residence;
◗	 Trade or business expenses;
◗	 Travel expenses;
◗	 Meals and entertainment expenses;
◗	 The maximum deferral amount of government
employees’ deferred compensation plans;
◗	 The deduction for health insurance costs of
self-employed taxpayers;
◗	 Medical and dental expenses;
◗	 Annuities;

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for taxpayer identification to assist in processing and keeping track of returns and in determining and collecting the proper amount of tax due.
Under MGL ch 62C, § 40, the taxpayer’s identifying number is required to process a refund of
overpaid taxes. Although tax return information is
generally confidential pursuant to MGL ch 62C, §
21, DOR may disclose return information to other
taxing authorities and those entities specified in
MGL ch 62C, §§ 21, 22 or 23, and as otherwise
authorized by law.

◗	 Gambling winnings;

Filing Your
Massachusetts
Return

◗	 Interest from obligations of states and their political subdivisions, other than Massachusetts and
its political subdivisions; and

If you were a resident of Massachusetts and your
gross income was more than $8,000 — whether
received from sources inside or outside of Massachusetts — you are required to file a Massachusetts income tax return. If your gross income was
$8,000 or less, you do not need to file a return.
If you did not live in Massachusetts but received
Massachusetts source income in excess of your
personal exemption amount multiplied by the ratio
of your Massachusetts income to your total income, you must file as a nonresident on the Nonresident/Part-Year Resident Income Tax Return,
Form 1-NR/PY.
If, during the taxable year, you either moved to
Massachusetts or terminated your status as a Massachusetts resident to establish residency outside
the state, and your gross income was more than
$8,000 — whether received from sources inside
or outside of Massachusetts — you must file as a
part-year resident on the Form 1-NR/PY.

What Is Gross Income?

Massachusetts gross income includes the following:

◗	 Health savings accounts;

◗	 All wages, salaries, tips, bonuses, fees and other
compensation;

◗	 Employer-provided health insurance coverage;

◗	 Taxable pensions and annuities;

◗	 Amounts received by an employee under a
health and accident plan; and

◗	 Pension income from another state or political
subdivision before any deduction;

◗	 Contributions to qualified tuition programs.

◗	 Taxable IRA/Keogh and Roth IRA distributions;

Privacy Act Notice

◗	 Taxable alimony, see Schedule X instructions;

Under the authority of 42 USC § 405(c)(2)(C)(i),
and MGL ch 62C, § 5, DOR has the right to require
an individual to furnish his or her Social Security
number on a state tax return. This information is
mandatory. DOR uses Social Security numbers

◗	 Income from a business, trade, profession,
partnership, S corporation, trust or estate;
◗	 Rental, royalty and REMIC income;
◗	 Unemployment compensation;
◗  Taxable interest and dividends;

◗	 Capital gains;
◗	 Forgiveness of debt;
◗	 Mortgage forgiveness;
◗	 Taxable portion of scholarships and fellow­ships;
and
◗	 Any other income not specifically exempt.
Massachusetts gross income also in­cludes the following, which are not subject to U.S. income tax:

◗	Income earned by a resident from foreign
employment.
Massachusetts gross income does not include:
◗	 Interest on obligations of the U.S. and U.S.
territories;
◗	 Pension income received from a contributory
annuity, pension, endowment or retirement fund
of the U.S. government or the Commonwealth of
Massachusetts and its political subdivisions.
◗	 Amounts received as U.S. Social Security, public welfare assistance, Veterans Administration
disability payments, G.I. Bill education payments,
certain worker’s compensation, gifts, accident or
life insurance payments, or certain payments received by Holocaust survivors; and
◗	 Compensation earned by members of the armed
forces for service in a combat zone (excluded to
the same extent as under federal law).

Am I a Resident, Nonresident, or
Part‑Year Resident?

There are four different categories of resident status under Massachusetts tax law:
◗	 You are a full-year resident if your residence
(domicile) is in Massachusetts or if you maintain
a permanent place of abode in Massachusetts and
during the year spend more than 183 days, in the
aggregate, in the state. If you fit this description
you should file a Massachusetts Resident Income
Tax Return, Form 1.
◗	 You are a nonresident if you were not a resident of Massachusetts but received Massachusetts income (e.g., from a job in Massachusetts).
You must report such income by filing a Massachusetts Form 1-NR/PY.
◗	 You are a part-year resident if you either moved
into or moved out of Massachusetts during the
taxable year. In this case, you must reduce certain income, deductions and exemptions based on

2024 Form 1 Instructions 	

5

the number of days you were a resident or on the
amount of your income that is subject to Massachusetts tax. Part-year residents must file a Massachusetts Form 1-NR/PY.

arate return. Married taxpayers who file a joint
return are allowed to claim the following exemptions, deductions and credits which married taxpayers filing separate returns may not claim:

resentative and none is contemplated, a Massachusetts Form M-1310 must be enclosed with the
return so the refund check may be made payable
to the proper person.

◗	 You are both a nonresident and part-year resident if you meet the criteria above for both the
part-year resident and nonresident categories. If
filing as a nonresident and part-year resident, the
Schedule R/NR must be completed.

◗	 A credit of $440 for a Child and Family Tax Credit
for a dependent member of household under age
13, a dependent who is over age 65 or disabled or
the taxpayer’s spouse, who is physically or mentally incapable of taking care of himself or herself;

Should I Make Estimated Tax Payments in
2025?

Are Military Personnel Required to File?

◗	 No Tax Status if joint Massachusetts AGI was
$16,400 or less plus $1,000 for each dependent;

If you enlisted in the service as a Massachusetts
resident and have not established a new domicile
(residence) elsewhere (refer to military guidelines), and if your gross income is more than
$8,000, you are required to file a Massachusetts
resident income tax return. This applies even
though you may be stationed outside of Massachusetts. The words residence and domicile are
used to denote the place where you have your
permanent home and to which, whenever you are
absent, you have the intention of returning. Nonresident military personnel stationed in Massachusetts may be subject to Massachusetts taxes
and should file Form 1-NR/PY if they earn income
from outside military sources.
Military Spouses. The Military Spouses Residency Relief Act (P.L. 111‑97) prohibits a service-member’s spouse from either losing or acquiring a residence or domicile for purposes of
taxation because of being absent or present in any
U.S. tax jurisdiction solely to be with the servicemember in compliance with the servicemember’s
military orders. In general, for Massachusetts tax
purposes, the law affects only servicemembers
and their spouses who are domiciled in a state
other than Massachusetts.
As of January 5, 2023, the Veterans Auto and Education Improvement Act (P.L. 117–333) allows a
servicemember and the spouse of such servicemember to choose as their residence or domicile
for each taxable year of the marriage, regardless
of the date of the marriage, from any of the following: (a) the residence or domicile of the servicemember; (b) the residence or domicile of the
spouse; or (c) the permanent duty station of the
servicemember.

What Are the Rules for Filing a Joint
Return?

A joint Form 1 is not allowed unless both spouses
were Massachusetts residents for the same portion of 2024.
If your spouse died during 2024, you may still
choose to file a joint return.
If you are legally married, you have the option of
filing either a joint return or a married filing sep-

◗	 Limited Income Credit if joint Massachusetts
AGI is between $16,400 and $28,700 plus $1,750
for each dependent;
◗	Excess unused exemptions against interest
income (other than interest from Massachusetts
banks), dividends or capital gain income; and
◗	 A senior circuit breaker tax credit allows senior
citizens meeting certain eligibility criteria to claim
a refundable credit on their state income taxes for
the real estate taxes paid on the Massachusetts
residential property they own or rent, and which
they occupy as their principal residence. The credit
is the amount by which the real estate tax payment
or 25% of the rent constituting real estate tax payments exceeds 10% of their total income, but not
more than $2,730. The credit is refundable to the
extent the credit exceeds the taxpayer’s tax liability.

How Do I File a Decedent’s Return?

A final income tax return must be filed for a taxpayer who died during the taxable year. This return should include income received until date of
death. It must be signed and filed by his/her personal representative, administrator or surviving
spouse for the portion of the year before the taxpayer’s death. Be sure to fill in oval 1 if the taxpayer
who was listed first on last year’s income tax return is deceased, or oval 2 if the taxpayer who was
listed second on last year’s income tax return is
deceased. Also, enclose Form M-1310, Statement
of Claimant to Refund Due on Behalf of Deceased
Taxpayer, with the refund claimant’s name and Social Security number clearly printed.
A joint return may be filed by a surviving spouse.
In the case of the death of both spouses, a final
return must be filed by their legal representative.
Any income of $100 or more received for the decedent for the taxable year after the decedent’s death,
and for succeeding taxable years until the estate is
completed, must be reported each year on Massachusetts Form 2, Massachusetts Fiduciary Income Tax Return. Form 2 is available online at
mass.gov/dor.
If the decedent’s return shows a refund due, and
if the Probate Court has not appointed a legal rep-

Every resident or nonresident who expects to pay
more than $400 in Massachusetts income tax on
income which is not covered by Massachusetts
withholding must pay Massachusetts estimated
taxes. Estimated tax payments can be made online by using MassTaxConnect at www.mass.gov/
masstaxconnect or by filing Massachusetts Form
1-ES. See line 40 instructions and TIR 04-25 for
more information.

When to File Your
Return

Your 2024 Massachusetts Form 1 is due on or before April 15, 2025. See "Filing Due Dates" above.

Automatic Extensions

All taxpayers filing personal income tax returns
are automatically granted a six-month extension
of time to file their tax return as long as at least
80% of the total amount of tax ultimately due on
or before the due date prescribed for payment of
the tax has been paid. See TIR 16-10.
Also, if you are making a payment of $5,000 or
more, you are required to submit your extension
payment electronically. Failure to do so will result
in a penalty. If you are making a payment of less
than $5,000, you also have the option of filing your
extension electronically. You do not need to file an
extension if no payment is due. If there is a tax
due with your extension, payment can be made
through Electronic Funds Withdrawal.
Form 1 Extension Worksheet
1. Enter amount from
Form 1, line 32.  .  .  .  .  .  .  .  .  .  .  .  .  .  .
2. Enter the total of Form 1, lines 38
through 40 and 43
through 47.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
3. Amount due. Subtract line
2 from line 1, not less
than 0.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
Note: Your extension will not be valid if you fail to
pay 80% of your total tax liability through withholding, estimated tax payments or with your extension.

Must I File on a Calendar Year Basis?

No. You may file on a fiscal year basis if you keep
your books and records on that fiscal year basis

2024 Form 1 Instructions 	

6

and if you receive permission from the Commissioner of Revenue. If you file on a fiscal year basis,
you must file on or before the fifteenth day of the
fourth month after the end of your fiscal year.
Taxpayers filing on a fiscal year basis must complete and file Form 13, Notice of Designation of
Fiscal Year, available at mass.gov/dor or by calling (617) 887-6367 or toll-free in Massachusetts
(800) 392-6089.

using an Individual Taxpayer Identification number (ITIN) should enter that ITIN as their Social
Security number in the appropriate space. Also,
be sure your employer has listed the correct Social Security number on your Form W-2. If you are
married, you must list your spouse’s name and
Social Security number even if you are filing a separate return, except as provided below. See line 1
instructions for married filing a separate return.

Fiscal Year Filers

To apply for an SSN, you must complete Form
SS-5. Form SS-5 is available online at socialsecurity.gov, from your local Social Security Administration (SSA) office, or by calling the SSA at (800)
772-1213. It usually takes about two weeks to receive an SSN. If you are a nonresident or resident
alien and you do not have and are not eligible for
an SSN, you must apply for an ITIN. For details on
how to do so, see Form W-7 and its instructions.
Form W-7 is available online at irs.gov or by calling
the IRS at (800) 829-1040. It usually takes about
four to six weeks to receive an ITIN.

Fiscal year filers should file using the tax form for
the calendar year within which the short year falls.
If the short year spans more than one calendar
year, the filer should file using the tax form for the
calendar year in which the short year began. If the
current form is not available at the time the short
year filer must file, the filer should follow the rules
explained in TIR 11-12.

What If I am Unable to Pay?

If you are unable to pay the full amount of tax that
you owe, you should pay as much of your tax liability as possible with this return. You will receive a
bill from DOR for the remaining amount of tax due
plus accrued interest and penalty charges. If the
amount of that bill is less than $10,000 and you
still cannot pay it in full, you must apply formally
to DOR for a small payment agreement in order to
avoid collection activity. You can apply for a small
payment agreement by visiting Mass­TaxConnect
at mass.gov/masstaxconnect.
Note: Do not mail your request for a payment
agreement with your tax return. Requests can
be made once a bill is issued through DOR’s
Mass­TaxConnect application at mass.gov/dor or
by calling DOR at (617) 887-6367. Setting up a
small payment agreement will allow you to make
monthly payments within a set time period to satisfy your unpaid liability.

Name and Address

Print the full name, address, and Social Security
number of each person filing the return in the
spaces provided. Enter names as they appear on
your federal return.

Social Security Number(s)

Be sure to enter your Social Security number(s)
on your return. Also, enter your Social Security
number on pages 2 through 4 of Form 1 and on
page 2 of Schedule B or Schedule C, if filed. Failure
to show the correct Social Security number in the
space provided will delay the processing of your
return. If filing jointly, list your number and your
spouse’s number in the order they appear on your
federal return. Taxpayers filing their U.S. return

Note: You must wait until you receive an ITIN or
SSN to file your Massachusetts return.

Filing an Amended Return

Note: When filing an Amended return, the
Amended return oval must be filled in. For example, if you are filing an Amended return due to
a Federal amendment, both the Amended return
oval and the Federal amendment oval must be
filled in.

Filing an Amended Return

If you need to change a line item on your return, complete a new return with the corrected
information and fill in the Amended return oval.
Your amended return must include all schedules
filed with the original return even if there are no
changes to the schedules. Mail your amended return to the same address used for original returns.
Do not file Form ABT with your amended return.
An amended return can be filed to either increase
or decrease your tax. An amended return should
also be filed to correct a credit amount (such as
withholding) or to dispute a health care penalty.
Generally, an amended return must be filed within
three years of the date that your original return
was filed. Visit mass.gov/dor/amend for more information about filing an amended return.

Federal Changes

If your amended return includes changes you have
reported on an amended federal return filed with
the IRS for the same tax year or if you are amending due to changes as a result of a federal audit, fill
in the Federal amendment oval.

If your amended return does not report changes
that result from the filing of a federal amended return or from a federal audit (for example, if the
amended Massachusetts return is reporting a
rental deduction not claimed on the original return) fill in only the Amended return oval.

Other Jurisdiction Change

If your amended return includes changes resulting
from another state or jurisdiction audit or change,
fill in the Other Jurisdiction change oval and enter
date of change in the space provided.

Amended return due to IRS BBA
Partnership Audit

If your amended return includes changes made
due to an IRS BBA Audit, fill in the Amended return due to IRS BBA Partnership Audit oval.

Consent to Extend the Time to Act on an
Amended Return treated as Abatement
Application

In certain instances, an amended return showing a reduction of tax may be treated by DOR as
an abatement application. Under such circumstances, by filing an amended return, you are giving your consent for the Commissioner of Revenue to act upon the abatement application after six
months from the date of filing. See TIR 16-11. You
may withdraw such consent at any time by contacting the DOR in writing. If consent is withdrawn,
any requested reduction in tax will be deemed denied either at the expiration of six months from
the date of filing or the date consent is withdrawn,
whichever is later.

Filing an Application for Abatement

File an Application for Abatement only to dispute
one of the following:
◗	Penalties
◗	 Audit assessments
◗	 Responsible person determinations
For the fastest response time, file your dispute online at mass.gov/masstaxconnect. If you cannot
file online, use Form ABT.
Visit mass.gov/dor/amend for additional information about filing an amended return, or filing an
application for abatement.

Form 1 Frequent Errors

Not entering the information below correctly may
result in an item being adjusted or removed.
◗	 Name – Enter your name as shown on your
government-issued ID with the first, last and middle in the designated fields for each type.

2024 Form 1 Instructions 	
◗	 Line 2c – You must fill in the bubble for each
spouse over 65 and enter a “1” or “2” in the Total
box accordingly.
◗	 Line 3 – If you are a Massachusetts state,
city, town, or county employee, you must report
the State wages, tips etc. amount from box 16
of Form W-2.

7
dress to the Department of Veterans’ Services and
the adjutant general of the Massachusetts National
Guard to verify eligibility for any benefits you may
be entitled to.

Deceased Taxpayer

◗	 Line 14 – Enter the total qualified rent paid in
2024 in the box, then divide by 2.

Be sure to fill in the appropriate oval if a taxpayer
died during the taxable year. For further information, refer to the section How Do I File a Decedent’s Return?

◗	 Line 38 – You must submit all documents that
have Massachusetts withholding, including passthrough entity or K-1 withholding.

If you are under age 18 as of January 1, 2025, be
sure to fill in the oval(s).

◗	 Lines 39 and 40 – Be sure to differentiate any
overpayment from 2023 as a credit carry forward
on line 39 and do not list it as 2024 estimated tax
payment on line 40.
◗	 Line 44 – Schedule CB must be completed and
submitted with your return.
◗	 Line 49 – Excess Paid Family Leave withholding
(PFML) is not the amount shown on your Form
W-2. You must use the worksheet for line 49 to see
if you qualify and to calculate the excess amount.
Each taxpayer would need to have multiple W-2’s
and to have paid PFML greater than $775.56 to
qualify. Or, have paid on the gross amount of
self-employment income, not the net.
◗	 Schedules B, C, D – Entries should be positive
values unless there is a box to mark to indicate a
negative value.
◗	 Schedule HC – You must complete and submit Schedule HC showing the subscriber number,
member ID or group number from insurance card.
Form 1095 is a federal form and cannot be used to
report health care coverage in Massachusetts.

Voluntary Contribution to State Election
Campaign Fund

You, and your spouse if filing jointly, may voluntarily contribute $1 each to the State Election Campaign Fund. The purpose of this fund is to provide
limited public financing for campaigns of eligible
candidates for statewide and elective office. This
contribution will not change your tax or reduce
your refund.

Veterans Benefits

Fill in the appropriate oval(s) for you, and/or your
spouse if married filing a joint return, if you are a
veteran who served in the Armed Forces of the
United States in active service as part of Operation
Enduring Freedom, Operation Iraqi Freedom, Operation Noble Eagle or Operation Sinai Peninsula
and were discharged under honorable conditions
and were domiciled for six months in Massachusetts immediately prior to entry into the Armed
Forces. DOR will then forward the name and ad-

Under Age 18

Name Change

If you legally changed your name since the last
time you filed a Massachusetts tax return, fill in the
oval. Enclose a copy of your Social Security card
or government-issued ID (i.e., driver’s license,
passport, etc.) showing your new name. Failure to
include this documentation could delay processing of your return.

Noncustodial Parent

Fill in the oval if you are a noncustodial parent. A
noncustodial parent is defined as a person who
has a minor child, but does not live with the child.
Note: If you are the biological parent of a child, but
your parental rights have been terminated, you are
not the noncustodial parent of that child.

Schedule TDS. Inconsistent Filing
Position Penalty

Fill in the oval and enclose Schedule TDS, Taxpayer Disclosure Statement, if you are disclosing
any inconsistent filing positions. Schedule TDS is
available on our website at mass.gov/dor. The inconsistent filing position penalty (see TIR 06-5,
§ IV) applies to taxpayers that take an inconsistent position in reporting income. These taxpayers must “disclose the inconsistency” when filing
their Massachusetts return. If such inconsistency
is not disclosed, the taxpayer will be subject to a
penalty equal to the amount of tax attributable to
the inconsistency. This penalty is in addition to any
other penalties that may apply.
A taxpayer is deemed to have taken an “inconsistent position” when the taxpayer pays less tax in
Massachusetts based upon an interpretation of
Massachusetts law that differs from the position
taken by the taxpayer in another state where the
taxpayer files a return and the governing law in that
other state “is the same in all material respects” as
the Massachusetts law. The Commissioner may
waive or abate the penalty if the inconsistency or
failure to disclose was attributable to reasonable
cause and not willful neglect.

Schedule FCI. Foreign Corporation Income

Fill in the oval and enclose Schedule FCI (Foreign
Corporation Income) if you are required to complete and file Schedule FCI with your return. All
taxpayers with foreign corporation income (including Global Intangible Low-Taxed Income
(GILTI)) must complete Schedule FCI. Detailed instructions for completing Schedule FCI are available on DOR’s website. See Schedule FCI and
Instructions.

Digital Assets

Fill in the oval if at any time during 2024 you received (as a reward, award, or payment for property or services) a digital asset, or sold, exchanged,
gifted, or otherwise disposed of a digital asset (or
a financial interest in a digital asset). Digital assets
include non-fungible tokens (NFTs) and virtual currencies, such as cryptocurrencies and stablecoins.
Note: Lines without specific instructions are considered to be self-explanatory.

a. Total Federal Income

Enter your total federal income (from U.S. Form
1040, line 9). If married filing separately and living in the same household for the last 6 months
of 2024, each spouse must com­bine their income
figures from their separate U.S. returns when
completing this section, unless you did not live
with your spouse on 12/31/2024 and were legally
separated under a written separation agreement or
a decree of separate maintenance.
Do not combine your income figures if you are
a victim of domestic abuse and living apart from
your spouse at the time you file your return.
If you did not have a requirement to file a U.S. return, you must enter 0 in this section.
Note: Failure to enter this information will delay
the processing of your return.

b. Federal Adjusted Gross Income

Enter your federal adjusted gross income (from
U.S. Form 1040, line 11). If married filing separately and living in the same household for the
last 6 months of 2024, each spouse must com­
bine their income figures from their separate U.S.
returns when completing this section, unless you
did not live with your spouse on 12/31/2024 and
were legally separated under a written separation
agreement or a decree of separate maintenance.
Do not combine your income figures if you are
a victim of domestic abuse and living apart from
your spouse at the time you file your return.
If you did not have a requirement to file a U.S. return, you must enter 0 in this section.
Note: Failure to enter this information will delay
the processing of your return.

2024 Form 1 Instructions 	
Line 1. Filing Status

Note: More than one filing status may apply to you.
If so, you may wish to figure your taxes based upon
more than one filing status to see which status is to
your benefit. Be sure to select only one filing status.
Fill in the if not using same filing status on the
federal return oval if you and your spouse filed a
joint federal return but are not filing a joint Massachusetts return. For tax years beginning on or after
January 1, 2024, a consistent filing requirement
exists which requires married couples to file a joint
Massachusetts return in any year in which they file
a joint federal return. If one of the spouses does
not have a Massachusetts filing requirement because their Massachusetts gross income does not
exceed $8,000, an exemption applies where they
may choose the married filing separate return status. Generally, a joint Form 1 is not allowed unless
both spouses were Massachusetts residents for
the same portion of 2024. See TIR 24-4 for additional information.

Single

Fill in the Single oval if you were single as of December 31, 2024. This status applies to you if at
the close of the taxable year you fit into any of the
following categories:
◗	 You were unmarried;
◗	 You were a widow or widower whose spouse
died before 2024; or
◗	 You were legally separated under a final judgment of the probate court.
Note that you are not single if:
◗	 You have obtained a judgment of divorce which
has not yet become final;
◗	 You have a temporary support order; or
◗	 You and your spouse simply choose to live apart.

Married Filing Joint Return

Fill in the Married filing joint return oval if you
were legally married as of December 31, 2024.
Both spouses are responsible for the accuracy of
all information entered on a joint return and both
must sign. A joint return is allowed even if only one
spouse had income or if one spouse died during
2024. For further information, refer to the section
“What Are the Rules for Filing a Joint Return?”

Married Filing Separate Return

Fill in the Married filing separate return oval if you
were legally married as of December 31, 2024, and
if you and your spouse are not filing a joint return.
Be sure to enter your spouse’s name and Social
Security number in the space provided.
If your spouse is a nonresident alien and does not
have and is not required to have a Social Security

8
number (SSN) or Individual Taxpayer Identification Number (ITIN), fill in the NRA oval.
Note: Only fill in the NRA oval if, on your U.S. 1040,
you entered NRA in the space below the filing status checkboxes to indicate that your spouse is a
nonresident alien who does not have and is not required to have a SSN or ITIN.

Head of Household

Fill in the Head of household oval if you qualify to
file this status federally. This status is for unmarried people who paid over half the cost of keeping
up a home for a qualifying person, such as a child
who lived with you or your dependent parent. Be
sure to include such qualifying person on Schedule DI, Dependent Information. Certain married
people who lived apart from their spouse for the
last six months of 2024 and who meet all of the
other federal requirements may also be able to use
this status. See IRS Publication 501, Dependents,
Standard Deduction, and Filing Information, for
more information.

Custodial Parent

Fill in the Custodial parent who has released
claim to exemption for child(ren) oval if you are
claiming the head of household filing status and
you have released your claim to one or more dependent exemptions on U.S. Form 8332, or participated in a decree or agreement to allow the noncustodial parent to claim a dependency exemption.

Whole Dollar Method Required

DOR requires that the whole dollar method be used
for entries made on forms or schedules. For example, amounts between $1.00 and $1.49 should be
entered as $1.00 and amounts between $1.50 and
$2.00 should be entered as $2.00. However, calculations on worksheets used to reach amounts shown
on the return may be made in one of two ways:
◗	 Round amounts before adding them up and
enter the resulting total on the form; or
◗	 Add amounts to the penny, and then round
to the whole dollar for entry on the form. Either
method is acceptable as long as one method is
used consistently throughout the return.

Line 2. Exemptions

Line 2a. Personal Exemptions

Each taxpayer is entitled to claim a personal exemption. The amount of your personal exemption
depends on your filing status in line 1.
◗	 If you are single or married filing a separate return, enter $4,400 in line 2a.
◗	 If filing as head of household, enter $6,800
in line 2a.
◗	 If married filing a joint return, enter $8,800
in line 2a.

Line 2b. Number of Dependents

You may claim a $1,000 exemption for each of
your dependents if you claimed them on your U.S.
return. Enter in the box in item b the number of dependents you listed on U.S. Form 1040. Do not include yourself or your spouse. Then, multiply that
total by $1,000 and enter the total amount in line
2b. Be sure to fill out Schedule DI, Dependent Information, if you are claiming a dependent exemption(s). Failure to do so will delay the processing
of your return.
Note: Only one person (or married couple filing
jointly) may claim the dependent exemption for
any one child or other dependent.

Line 2c. Age 65 or Over Before 2025

You are allowed an additional $700 exemption if
you were age 65 or over before January 1, 2025. If
your spouse was age 65 or over and you are filing
a joint return, you may also claim a $700 exemption for your spouse. Fill in the appropriate oval(s)
and enter the total number of persons age 65 or
over in the small box. Multiply that total by $700
and enter the total in line 2c.

Line 2d. Blindness Exemption

You are allowed an additional $2,200 exemption if
you are legally blind. If your spouse is also legally
blind and you are filing a joint return, you may also
claim a $2,200 exemption for your spouse. Fill in
the appropriate oval(s) and enter the total number
of blindness exemptions in the small box. Multiply
that total by $2,200 and enter the total in line 2d.

Legal Definition of Blindness

You are legally blind and qualify for the blindness
exemption if your visual acuity with correction is
20/200 or less in the better eye, or if your peripheral field of vision has been contracted to a 10-degree radius or less, regardless of visual acuity.

Line 2e. Medical/Dental Expenses

You may claim an exemption for medical and dental expenses paid during 2024 only if you itemized
these expenses on your U.S. Form 1040, Schedule A. If you are married filing a joint U.S. Form
1040, you must file a joint Massachusetts Form
1 to claim this exemption. Enter in line 2e the
amount reported on your U.S. Form 1040, Schedule A, line 4.

Line 2f. Adoption Agency Fee

If you paid adoption fees to a licensed adoption
agency during 2024, you are eligible for an exemption of the total amount of the fees paid during the
year. Fees paid during 2024 to an agency licensed
to place children for adoption on account of the
adoption process of a minor child regardless of
whether an adoption actually took place during
2024 should also be included for this exemption.
Enter this amount in line 2f.

2024 Form 1 Instructions 	

5.0% Income

Note: DOR and the IRS maintain an extensive
exchange program, routinely sharing computer
tapes and audit results. Discrepancies between income, deductions, and schedules reported federally and on this return, except those allowed under
state law, will be identified and may result in a state
audit or further investigation.

Line 3. Wages, Salaries, Tips and Other
Employee Compensation

Report in line 3 total state wages and allocated tips
from Form(s) W-2. Generally, your total wages and
allocated tips will be the same amount reported on
your U.S. Form 1040, line 1z.
Note: Following are instances that require an adjustment to these amounts:

Massachusetts Residents Working in a
Foreign Country

Income earned by a Massachusetts resident in a
foreign country is subject to taxation in Massachusetts. If you excluded part or all of the compensation earned in a foreign country on your U.S. return (under IRC § 911), you must include any such
amount in line 3 for Massachusetts tax purposes.

State or Local Employees Contributing to
Pension Plans

If you are a Massachusetts state, city, town or
county employee and contributed to your pension
plan, enter in line 3 the Massachusetts W-2 state
wage amount. This is generally box 16 of Form
W-2. This amount will be higher than the U.S.
amount because your pension contributions are
excluded from your income for U.S. tax purposes.
Contributions up to $2,000 per taxpayer may be
deducted in lines 11a and/or 11b.

Medicaid Waiver Payments

To the extent included in Line 3, reduce line 3 by
the amount of Medicaid waiver payments reported
on U.S. Schedule 1, line 8.

Line 4. Taxable Pensions and Annuities

Income from most private pensions or annuity
plans is taxable in Massachusetts. Certain government pensions, however, are exempt under
Massachusetts law. In general, exempt pensions
include contributory pensions from the U.S. Government or the Commonwealth of Massachusetts
and its political subdivisions, and noncontributory
military pensions. The following section describes
some specific pensions which are exempt. If your
pension is exempt, enter 0 in line 4 and note the
source on the dotted line to the left.
If your pension is not exempt, you should generally enter in line 4 the taxable amount reported on
your U.S. Form 1040, line 5b. In some cases, however, Massachusetts law requires an adjustment

9
to the federal amount. Distributions from annuity,
stock bonus, pension, profit-sharing or deferred
payment plans or contracts described in §§ 403(b)
and 404 of the IRC must be adjusted to account
for your contributions that have been previously
taxed. Subtract from such income (as reported on
your U.S. Form 1040, line 5a) the amount of your
contributions which was previously taxed by Massachusetts until the total of your taxed contributions is received. If your pension falls into this category, enter the adjusted amount in line 4. If you
are receiving distributions from an IRA or Keogh
plan, do not report the income here; instead, see
the instructions for Schedule X, line 2.
Note: Massachusetts does not tax Social Security
income; therefore, you should not report such income on Massachusetts Form 1.

What pensions are exempt?

◗	 Pension income received from a contributory
annuity, pension, endowment or retirement fund
of the U.S. Government or the Commonwealth of
Massachusetts and its political subdivisions.
◗	 Pension income from other states or their political subdivisions which do not tax such income
from Massachusetts, or its political subdivisions
must be reported in line 4. However, this income
may be eligible for a deduction on Schedule Y line
13. Refer to the instructions for Schedule Y line 13
to determine eligibility for this deduction.
◗	 Noncontributory pension income or survivorship benefits received from the U.S. uniformed
services (Army, Navy, Marine Corps, Air Force,
Coast Guard, commissioned corps of the Public
Health Service and National Oceanic and Atmospheric Administration) are exempt from taxation
in Massachusetts.
◗	 Massachusetts state court judges who were
appointed on or after January 2, 1975 are participants in the Massachusetts contributory retirement system and their pensions are nontaxable.
State court judges who were appointed prior to
January 2, 1975 receive taxable noncontributory pensions.
If you retired under MGL ch 32, §§ 56–60 and are
a veteran who began Massachusetts state service
prior to July 1, 1939, all or part of your pension
income may be subject to tax. If you elected to
receive your proceeds from contributions in one
lump-sum distribution, your original contributions
to the retirement system are not taxable. Noncontributory pension income received after a lumpsum distribution is fully taxable and should be reported in line 4.

How do I report lump-sum distributions?

If you were an employee of the U.S., Massachusetts or one of its political subdivisions and left

public employment prior to retirement, you are
not required to report as income the lump-sum
distribution of your previously-taxed pension
contributions.
Lump-sum distributions of qualified employee
benefit plans in excess of the employee’s contributions which were previously subject to Massachusetts tax (or not previously excluded from Massachusetts tax) must be reported in line 4. Generally,
qualified rollovers are not taxable in Massachusetts to the extent they are not taxable on your
U.S. return. Lump-sum distributions related to
IRA/Keogh and Roth IRA distributions should be
reported in Form 1, line 9, “Other Income (from
Schedule X).”
Rollover from a traditional IRA to a Roth IRA.
Taxpayers are allowed to make partial or complete
rollovers from existing IRAs to Roth IRAs. Any taxable portion of these rollovers included in federal
gross income is also included in Massachusetts
gross income, except for amounts previously subject to Massachusetts personal income tax. See
Schedule X, line 2 instructions for further details.

Line 5. Interest from Massachusetts Banks

Enter in line 5 the total amount of interest received
or credited to deposit accounts (term and time
deposits, including certificates of deposit, savings
accounts, savings shares, and NOW accounts) in
Massachusetts banks.
Do not subtract interest forfeited or penalties charged
to you for early savings withdrawal. You will be allowed to deduct these amounts on Schedule Y, line 2.
All other interest, unless exempt, should be entered
on Massachusetts Schedule B. Interest on an IRA/
Keogh is not taxable until distributed.

Lines 6, 7 and 10

If showing a loss in lines 6, 7 or 10, be sure to
mark over the X in the box to the left. Do not use
parentheses or negative signs to indicate losses.

Line 6a. Business/Profession Income or
Loss

Enter in line 6a the amount of income or loss from
a business or profession from Massachusetts
Schedule C, line 37. You must enclose Massachusetts Schedule C with this return. U.S. Schedule C
is no longer allowed as a substitute for the Massachusetts Schedule C.
Note: Following the Code Update, you may not deduct an excess business loss (EBL) for tax year
2024. For federal purposes, your EBL, if any, is determined using U.S. Form 461 and is added back
to your income on U.S. Form 1040, Schedule 1,
line 8p. You must also add back EBL to Massachusetts income. To do so, use Massachusetts Schedule X, line 6. See instructions for that line for more
information.

2024 Form 1 Instructions 	
Line 6b. Farm Income or Loss

If you operate a farm as an individual or cooperative, enter in line 6b the amount of income or
loss from operating a farm from U.S. Schedule F,
Profit or Loss from Farming, line 34. Enclose a
copy of U.S. Schedule F. Complete a pro forma
U.S. Schedule F to report Massachusetts differences, such as bonus depreciation.

Line 7. Rental, Royalty, REMIC, Part­ner­
ship, S Corporation, Trust Income or Loss

Taxpayers with income or loss reported on a
Schedule E must file his or her tax return using
computer-generated forms produced by thirdparty software. The tax return may be generated
by the taxpayer or by a tax professional. The taxpayer is encouraged, but not required, to submit
the return electronically. Paper forms produced
using the third-party software product will contain a two-dimensional (2D) bar code and will also
be accepted. If the taxpayer hires an income tax
preparer to complete the taxpayer’s taxes, the preparer must follow the Commissioner’s electronic
filing rules. See TIRs 08-22 and 16-9 for more
information.
If you do not have access to a software package
when filing your 2024 income tax return, you may
file your Schedule(s) E on paper. Visit our website
at mass.gov/dor to download a paper copy of the
2024 Schedule(s) E, E-1, E-2, E-3 (and instructions) to file with your income tax return.

Line 8a. Unemployment Compensation

If you received unemployment compensation,
enter in line 8a the amount from U.S. Form 1040,
Schedule 1, line 7. If you elected voluntary withholding of Massachusetts state income taxes on
your unemployment compensation, be sure to include the amount of Massachusetts state income
tax withheld, as reported on Form 1099-G, on
Form 1, line 38b.
Note: DOR routinely matches the amounts in line
8a with files from the Division of Unemployment
Assistance.

Line 8b. Massachusetts State Lottery
Winnings

Enter in line 8b net winnings (total winnings minus
cost of winning ticket(s)) from the Massachusetts
state lottery. Do not enter less than 0. You may
only deduct the price of your winning ticket. Lottery losses claimed as itemized deductions on U.S.
Form 1040, Schedule A are not allowed on your
Massachusetts return.
Note: DOR routinely matches the amounts in line
8b with files from the Lottery Commission.

10
Line 9. Other Income (from Schedule X)
Taxable Alimony Received, Taxable
IRA/Keogh and Roth IRA Conversion
Distributions, Other Gambling Winnings,
Fees, Excess Business Loss Adjustment,
and Other 5.0% Income and PFML taxable
distributions.
“Other 5.0% income” includes the items listed
above and must be included on Schedule X.
Enter the total from Schedule X, line 7. Not less
than 0. Be sure to enclose Schedule X with your
return. Failure to enclose this schedule will delay
the processing of your return.

Deductions
Lines 11 through 15

Massachusetts allowable deductions differ from
itemized deductions on Schedule A of U.S. Form
1040. You may claim only the deductions specified on Massachusetts Form 1, lines 11 through
14 and Schedule Y.
You are not allowed to deduct amounts unless
they are directly related to income that is subject to
taxation and reported on Massachusetts Form 1.

Line 11. Amount Paid to Social Security
(FICA), Medicare, Rail­road, U.S. or
Massachusetts Retirement Systems

If you have paid into any of the retirement systems
listed above during 2024, you may deduct those
contributions, up to a maximum of $2,000.
Enter in lines 11a and 11b the amount you, and
your spouse if filing jointly, paid to Social Security (FICA), Medicare or Railroad Retirement and
the U.S. or Massachusetts retirement systems
during 2024 as shown on your Form W-2, but not
more than $2,000 each. Payment amounts may
not be combined or transferred from one spouse
to the other. Be sure to add any amount of Medicare tax withheld as shown on Form W-2 and any
amount of self-employment tax as reported on
your U.S. Form 1040 to the amount of Social Security tax withheld, the total not to exceed $2,000
per person.
Note: Medicare premiums deducted from your
Social Security or retirement payments are not
deductible.
Payments to an IRA, Keogh, Simplified Employee
Pension Plan (SEP), or Savings Incentive Match
Plan for Employees (SIMPLE) Account are not deductible for Massachusetts income tax purposes.

Line 14. Rental Deduction

You may be entitled to a rental deduction equal to
one-half (50%) of the rent you paid during 2024
(up to a maximum of $4,000 per return) for your
principal residence in Massachusetts. Enter the
total amount of qualified rent paid by you during
2024 in line 14a. Divide line 14a by 2 and enter the
result, or $4,000 ($2,000 if married filing a separate return), whichever is smaller, in line 14.
Note: This deduction amount does not apply to
your U.S. tax return.

What Qualifies for the Rental Deduction?

The deduction must be for rent you paid to a landlord for the rental or lease of your principal residence in Massachusetts. If two or more persons
jointly rent a unit, each occupant using it as his/
her principal residence is entitled to a deduction
based on the amount of rent that each person paid.
If the rent is paid by a third party (such as a parent)
who maintains a principal residence elsewhere, no
50% rental deduction is allowed for either party.
A principal residence does not include any residence for vacation, an apartment for a person on
a temporary assignment or a student or faculty
member who has a principal residence elsewhere.
It also does not include any apartment or house
in Massachusetts of a nonresident who has a residence in another state or country. Payment for
occupying a hotel, motel or rooming house is not
considered rent unless a rental agreement exists.
Nor are payments by a tenant-stockholder of a cooperative housing corporation to the corporation
and payments by an owner of a condominium unit
to the condominium association considered rent.
All separately stated charges such as utilities, furnishings or parking cannot be included in rent for
purposes of this deduction. Also, rent does not
include any advance payments (such as security
deposit, last month’s rent, etc.) until actually applied as rent.

How Do I Calculate My Rental Deduction If
I Am Married Filing Separately?

If married taxpayers file separate returns, they are
each entitled to a rental deduction equal to 50%
of the rent each pays, not to exceed $2,000 per
return. However, a married couple filing separately may allocate the rent deduction differently,
provided the amount taken by each spouse does
not exceed 50% of the rent actually paid by that
spouse, and provided their combined rental deductions do not exceed $4,000. If the allocation
results in one spouse claiming a deduction in excess of $2,000, that spouse must enclose with his/
her return a statement signed by the other spouse

2024 Form 1 Instructions 	
indicating consent to the allocation. The statement
must contain the name, address and Social Security number of the consenting spouse and the
amount of rental deduction taken by that spouse.

Line 15. Other Deductions (from
Schedule Y)
Enter the total from Schedule Y, line 19. Be sure to
enclose Schedule Y with your return. Failure to do
so will delay the processing of your return.

Line 17. 5.0% Income After Deductions

Subtract line 16 from line 10. Enter the result in
line 17. If line 16 exceeds line 10, enter 0 in line 17.

Line 19. 5.0% Income After Exemptions

Subtract line 18 from line 17. If line 18 exceeds line
17, enter 0 in line 19.
If line 18 exceeds line 17 and you received interest income (other than interest from Massachusetts banks), dividends or capital gain income,
complete the Schedule B, Line 36 and Schedule
D, Line 20 Worksheet, if applicable. All others proceed to line 20.
Schedule B, Line 36 and Schedule D, Line 20
Worksheet. Excess Exemptions from Interest and
Dividend Income, 8.5% and 12% Income and
Long-Term Capital Gain Income (Only if Single,
Head of Household, or ­Married Filing Jointly)
If your total exemptions in Form 1, line 18 are more
than the amount of your 5.0% income after deductions in Form 1, line 17, the excess may be applied
against any interest and dividend income and income taxed at 8.5% or 12%. Any remaining excess
amount may then be applied against any long-term
capital gain i­ncome. Complete this worksheet only
if Form 1, line 17 is less than Form 1, line 18 and
you received interest income (other than interest
from Massachusetts banks), dividends or capital
gain income to determine if you qualify for the excess exemption. Enter all losses as 0.
1. Enter amount from
Schedule B, line 35. Not
less than 0 .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
2. Enter amount from
Form 1, line 18.  .  .  .  .  .  .  .  .  .  .  .  .  .  .
3. Enter amount from
Form 1, line 17.  .  .  .  .  .  .  .  .  .  .  .  .  .  .
4. Subtract line 3 from line 2. If 0
or less, you do not qualify for
this exemption. Omit remainder
of worksheet.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .
5. Excess exemptions applied against interest and
dividend income and 8.5% or 12% income. If line 1
is larger than line 4, enter line 4 here and in Schedule B, line 36. If line 4 is equal to or larger
than line 1, enter line 1 here and in Schedule
B, line 36. Complete lines 6
through 8.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .

11
6. Subtract line 5 from line 4.
If 0, omit remainder of
worksheet.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .

Be sure to enclose Massachusetts Schedule B. To
determine if you need to file Schedule B, refer to
the Schedule B instructions in this booklet.

7. Enter Schedule D, line
19. Not less than 0.  .  .  .  .  .  .  .  .  .  .  .

Tax on Long-Term
Capital Gains

8. Excess exemptions applied against long-term
capital gain income. If line 7 is larger than
line 6, enter line 6 here and in Schedule D,
line 20. If line 6 is equal to or larger
than line 7, enter line 7 here and
in Schedule D, line 20 .  .  .  .  .  .  .  .  .

Line 20. Interest and Dividend Income

If you have any interest income other than interest
from deposits in banks located in Massachusetts,
dividend income, certain capital gains or losses,
or any adjustments to interest income (other than
interest from Massachusetts banks), you must
complete Schedule B. Be sure to enclose Massachusetts Schedule B. To determine if you need to
file Schedule B, refer to the Schedule B instructions in this booklet.
Enter in line 20 the amount from Schedule B, line 38.

Tax on 5.0%
Income

Line 22. 5.0% Tax (from tax table)

If line 21 is less than $24,000, find the proper tax
by using the tax tables found in the back of this
booklet. If line 21 is greater than $24,000 multiply
by 0.05 and enter the result in line 22.
Note: Personal income tax forms must provide an
election to voluntarily pay tax at a rate of 5.85% on
taxable income which would otherwise be taxed at
a rate of 5.0%. The election to pay tax at the rate
of 5.85% does not apply to items of income taxed
at 8.5% (short-term capital gains) and 12% (gains
on collectibles). If choosing the optional 5.85% tax
rate, multiply line 21 and Schedule D, line 21 by
0.0585 and fill in the oval.

8.5% and 12%
Income & Tax

Line 23a. 8.5% Income from Certain
Capital Gains

Enter in line 23a the amount from Schedule B,
line 39. Multiply this amount by 0.085 (8.5%) and
enter the tax in line 23.

Line 23b. 12% Income from Certain
Capital Gains

Enter in line 23b Capital Gains taxed at 12%. Multiply this amount by .12 (12%) and enter the tax
in line 23b.

Line 24. Schedule D (Long-Term Capital

Gains and Losses Excluding Collectibles)
Enter in line 24 the amount from Schedule D, line
22, but not less than 0. To determine if you need
to file Schedule D, refer to the Schedule D instructions in this booklet.

Excess Exemptions

If excess exemptions were used in calculating
lines 20, 23 or 24 (see Schedule B, line 36 and/
or Schedule D, line 20), be sure to fill in the oval
in line 24.

Line 25. Credit Recapture Amount

If any Brownfields Credit (BC), Economic Opportunity Area Credit (EOA), Low-Income Housing
Credit (LIH) or Historic Rehabilitation Credit (HR)
property is disposed of or ceases to be in qualified
use prior to the end of its useful life, the difference
between the credit taken and the total credit allowed for actual use must be added back to your
tax on Form 1. Complete and enclose Schedule
CRS, Credit Recapture Schedule.

Line 26. Additional Tax on Installment
Sale

An addition to tax applies for taxpayers who have
deferred the gain, and the tax associated with that
gain, on cert