Last month, Marketing & Communications Manager, David Ginisi, participated in a Sales Mission representing our tourism affiliate Visit North Central Massachusetts. The Media Mission took place in Toronto and Montreal and was sponsored by the Massachusetts Office of Travel and Tourism and included meetings and presentations to tour operators, travel media and other trade contacts. Visit North Central Massachusetts participated to help generate positive coverage for our region and establish meaningful media relationships. Canada is a strong drive market for the region.
CHANGES TO ROOM OCCUPANCY EXCISE
The new law expands the room occupancy excise to include short-term rentals. Aside from taxing short-term rentals, there are some aspects of the law that impact traditional lodging establishments already charging room occupancy excise, like bed and breakfast establishments, hotels, lodging houses and motels.
The following lists are meant only to highlight a few of the changes for short-term rentals and traditional lodging accommodations. We recommend reviewing the frequently asked questions and the technical information release (TIR), on the Department of Revenue website, for detailed information on the new law.
Impact on short-term rentals
Rent from short-term rentals will now be subject to room occupancy excise for any agreements made on January 1, 2019 or after for occupancies beginning July 1, 2019 or after.
“Rent” includes, insurance, linen fees, cleaning fees and booking fees.
A short-term rental is an occupied property where at least one room or unit is rented using advance reservations – this might include an apartment, house, cottage or condominium.
Operators of short-term rentals must register with MassTaxConnect on or after July 1, 2019 when registration will be available.
Operators who rent more than 14 days in a year must collect the excise.
An exemption is made for single occupancies of more than 31 consecutive days.
Intermediaries who collect rent on behalf of short-term rental operators are required to collect all excises and fees and remit to the Department of Revenue.
There are other important aspects of the room occupancy excise worth noting as described in the frequently asked questions and TIR.
Impact on traditional lodging accommodations
There is an expansion of “occupancy” to include any and all furnishings, services, accommodations, like breakfast at a B&B, whether the occupant chooses to avail themselves of the services or not.
There is an expansion of “rent” to include insurance, linen fees, cleaning fees and booking fees.
Intermediaries who collect rent on behalf of the operator of the lodging establishment will be required to collect and remit tax to the Department of Revenue.
The effective date for those currently collecting room occupancy excises (and new establishments) to begin collecting the room occupancy excise, based on the new definitions of rent and occupancy, is July 1, 2019. This would include any applicable local excises. Any price quotes, or collection of rents for occupancies after July 1, 2019 should include the excise.
More Information
Stay tuned, whether you are in the short-term rental or traditional lodging accommodations industries, for more information about tax reporting under the new law. Registration for short-term rental operators or intermediaries will be available through MassTaxConnect as of July 1, 2019. We will also continue to update the guidance on our website with any changes that take place.
After reviewing the frequently asked questions and technical information release, please contact the Trustee Tax Contact Center at 617-887-6367 (choose #4 for both prompts) with any additional questions.
Here are updates to the Paid Family and Medical Leave Act:
Private Plan Exemption Process Now Available at: https://www.mass.gov/info-details/exemptions-from-paid-family-and-medical-leave-for-private-plans
The Department of Family and Medical Leave’s private plan exemption process is now available for businesses in the Commonwealth with Paid Family and Medical Leave (PFML) plans offering benefits that meet or exceed those provided by the Commonwealth’s PFML law.
The updated exemption web page includes:
Information on required documentation
Information on how to calculate the required surety bond
Links to details from the Massachusetts Department of Revenue on how to file for an exemption from making family or medical leave contributions to the Department of Family and Medical Leave with MassTaxConnect
Applications for exemptions for private plans must be submitted to the Massachusetts Department of Revenue’s web-based application MassTaxConnect by June 30, 2019. Contributions to the program for those not receiving an exemption will begin on July 1, 2019.
Workforce Notifications, all languages now posted at: https://www.mass.gov/info-details/informing-your-workforce-about-paid-family-and-medical-leave
The Department of Family and Medical Leave has posted an additional six language options to the notice required to be provided by employers and covered business entities to their current workforce of PFML benefits, contribution rates, and other provisions as outlined in M.G.L. c. 175M sec. 4 on or before May 31, 2019.
The notice, which may be provided electronically, must include the opportunity for an employee or self-employed individual to acknowledge receipt or decline to acknowledge receipt of the information.
Please note! Federal Employer Identification Number
The identification number assigned by the Department of Family and Medical Leave will be the employer’s Federal Employer Identification Number (“FEIN”). Please use your FEIN as your Employer ID Number on the “Employer Notice to Employee” and the “Employer Notice to Self-Employed Individual” Forms.
The North Central Massachusetts Chamber of Commerce, alongside the Massachusetts Business Alliance for Education (MBAE) and over 100 business and community leaders from across the Commonwealth, signed a letter to Governor Baker, Senate President Spilka and House Speaker DeLeo earlier this month. Seeking a legislative solution to the state’s longstanding achievement, opportunity, and skills gaps; the letter calls for any new funding to be used effectively and efficiently and for steps to be taken to establish career pathways within our schools.
Education reform has become an increasingly contentious issue on Beacon Hill in recent years. A 2015 review of the Commonwealth’s 30 year old school funding formula found it had failed to adapt to the changing needs of the state’s school districts and frequently underfunded those facing the greatest challenges. The Chamber has long identified education as a key regional and state issue. In recent years, employers have complained of challenges finding, training, and retaining qualified talent- especially in the manufacturing sector. This has placed considerable pressure on these employers and led to concerns regarding missed opportunities for the region’s students.
To address this, the Chamber established a taskforce consisting of regional employers and worked to identify solutions. The result, which also drew input from area educators, was a report published this year entitled “Build North Central: Promoting the Industrial Heart of Massachusetts”. This report contains both programmatic and policy recommendations and is intended to serve as a toolkit which policy makers and educators can both draw from, shaping the discourse in the process. These recommendations align closely with MBAE’s mission to ensure that “EVERY student graduates high school prepared for success in college and career” and led to the Chamber’s involvement in their advocacy efforts.
“We hope to see reforms which better align curriculums with workforce needs and expose students to diverse career opportunities,” explained Roy Nascimento, the Chamber’s President and CEO “Integrating meaningful reforms will help to strengthen our education systems for the benefit of both our students and employers.”
“Simply putting more money into a system that is failing far too many young people would be reckless,” said Edward Lambert, Jr., Executive Director of the Massachusetts Business Alliance for Education, one of the lead organizations behind the letter and a partner of The North Central Massachusetts Chamber of Commerce. “Crossing our fingers and hoping to get better results is not a strategy.We’re hearing from folks all across the state who want to ensure that new funding closes achievement and skills gaps and who agree money alone won’t accomplish those goals.”
Shortly after the letter was published, the Chamber testified alongside MBAE before the Joint Committee for Education at the State House. This testimony drew from Build North Central and placed a strong emphasis on aligning the state’s school systems with workforce needs. “We strongly believe all students should have access to work-based learning which, provided alongside rigorous college-level coursework, has proven to be effective in preparing students for success academically and in the workforce” stated Christopher McDermott, the Chamber’s public affairs manager. “Programs such as internships, co-ops, apprenticeships strengthen the educational experience, help our schools engage local employers, and provide meaningful introductions to career opportunities.”
Click here to read the Chamber’s testimony before the Legislative Committee on Education
Click here to read the letter the Governor, Senate President and Speaker of the House
For more information, Please contact Christopher McDermott, Public Affairs Manager at 978.353.7600 ext. 224 or via email at .
Expansive guide highlights the region’s vast manufacturing firms and industrial space
The North Central Massachusetts Chamber of Commerce and the North Central Massachusetts Development Corporation (NCMDC) announce the publication of the 2019 edition of the Manufacturers Directory and Industrial Parks Guide for North Central Massachusetts. The publication is designed to promote and connect manufacturers with suppliers as well as serve as a resource for companies looking to relocate or expand throughout the region.
Working with multiple sources, the NCMDC confirmed the operating status and primary product line of each company listed in the directory. In addition to the listing of local manufacturers, the publication also includes a section on life science companies, a listing of suppliers and a guide to business and industrial parks in North Central Massachusetts.
“We published this directory to help support our local manufacturers who are so critical to the long term vitality of the North Central economy”, said Roy Nascimento, President & CEO of the North Central Massachusetts Chamber of Commerce and the North Central Massachusetts Development Corporation. “We hope that this publication will be a resource in connecting manufacturers with their peers and helping them find local suppliers.”
This publication is part of the Chamber and Development Corporation’s continuing efforts to help promote the region and advance the economy of North Central Massachusetts. In addition to this manufacturing directory, the North Central Massachusetts Development Corporation has expanded its efforts to raise awareness of career paths in the advanced manufacturing field andrecently published a report entitled “Build North Central: Promoting the Industrial Heart of Massachusetts” which highlights recommendations to support the region’s manufacturing industry. It has also expanded its micro-loan programs, grown its technical assistance offerings for new and established small businesses in the region and expanded its reach to small and growing businesses in neighboring communities through partnerships with local chambers.
The 2019 edition of the publication was supported by advertising and is being circulated to manufacturers throughout the region. For more information, please contact the North Central Massachusetts Chamber of Commerce at 978.353.7600.
The North Central Massachusetts Development Corporation (NCMDC) is a non-profit corporation with the mission of creating jobs and improving the economy of North Central Massachusetts.The NCMDC acts as a connector, facilitator and partner and works in partnership with local banks, credit unions, chambers of commerce and area nonprofits to support emerging microenterprises, small businesses, and community projects with loans and business assistance.The NCMDC is certified by the U.S. Department of the Treasury under the Community Development Financial Institution (CDFI) program and is a micro-loan intermediary for the U.S. Small Business Administration and the U.S. Department of Agriculture.Since 1996, the NCMDC has granted over $6 million in loans to small businesses to help grow jobs and the economy.
For more information about the North Central Massachusetts Development Corporation please call 978.353.7607.
Forum to bring together tourism related businesses and organizations in the region
Visit North Central Massachusetts (VNCM) and the North Central Massachusetts Chamber of Commerce are pleased to announce the fourth annual Tourism Update Breakfast being held on Wednesday, April 10, 2019 at the Double Tree by Hilton, 99 Erdman Way, Leominster, MA. This exciting and fast paced breakfast event features industry experts who will share their professional insights on marketing North Central Massachusetts. The 2019 breakfast program is sponsored by the Double Tree by Hilton.
Lysa Miller, Co-founder of 3 Media Web, will speaking on online strategies to boost your business to visitors and groups. Lysa Miller is an entrepreneur and business development expert with 20+ years of experience increasing bottom lines for companies. In the past, she developed strategies for businesses that encompass the use of social media marketing, content marketing, SEO and online advertising to help reach their revenue goals. She is currently a partner at 3 Media Web where she continues to help fuel growth, evolve the brand, provide thought leadership and insight, create strong relationships in the community and build innovative partnership programs.
Tony D’Agostino, has been with the Massachusetts Office of Travel and Tourism for more than ten years as the Director of Research. In that time, D’Agostino’s main projects have been related to studying the volume of tourists, visitors and the economic impact of tourism spending in Massachusetts. These reports support the marketing initiatives and activities of the sixteen regional tourism councils across the Commonwealth.Mr. D’Agostino’s presentation will highlight visitor trends, top visitor markets and the impact of tourism for the state and region.
Roy Nascimento, President of Visit North Central Massachusetts and the North Central Massachusetts Chamber of Commerce will also provide an update on the tourism marketing initiatives of Visit North Central Massachusetts for 2019.
“Tourism is important to the future of North Central Massachusetts and plays an increasingly important role in our local economy” said Roy Nascimento, president of Visit North Central Massachusetts. “We organize this annual program as a way to bring tourism related stakeholders in the region together to share best practices, learn new trends in the industry and to take advantage of new opportunities to better market local businesses and the region to visitors.”
The Tourism Update Breakfast is open to all community members and will run from 7:30 am to 9:30 am. The cost is just $25 for VNCM and North Central Massachusetts Chamber of Commerce members/$35 for non-members and includes a breakfast buffet. Pre-registration is required. For more information or to register, please contact the Chamber at 978.353.7600 ext. 235.
Leominster, MA–To mark the 65th Anniversary of its founding, Leominster Credit Union (LCU) has established an endowed scholarship at Worcester State University to help LCU employees, members of the Board of Directors, and LCU members—or their children or grandchildren—pay for college.
“Leominster Credit Union is proud to participate in the scholarship program at Worcester State University as helping to fulfill our members’ financial needs and enriching our communities is an important part of our mission. This valuable partnership with Worcester State University will help to make a difference in meeting the educational goals for our employees, members of the Board of Directors, their children/grandchildren and our members,” stated Leominster Credit Union President & CEO, John O’Brien, a director of the Worcester State Foundation.
This gift represents the second time LCU has offered significant support to Worcester State. The Leominster Credit Union Cardio Area in the DeFeudis Fitness Center provides students with a space they can use to improve their stamina and speed. LCU is a member-owned, not-for-profit cooperative financial institution serving the needs of North Central Massachusetts communities since 1954. LCU claims more than 50,000 members and assets of more than $700 million. Its employees are committed to helping members achieve success with outstanding service, including helping them to pay for an education through scholarships.
Leominster Credit Union provides lending, deposit, and business services in Worcester County through a network of branches, ATMs, telephone, mobile and online banking services.Branches are located in Leominster, Worcester, Clinton, Holden, Sterling, and North Leominster. LCU operates two high school branches at Clinton High School and Wachusett Regional High School.
Criteria:
[One $1,000 award annually) The Leominster Credit Union Endowed Scholarship will be awarded to a Worcester State student with a 2.8 or greater G.P.A. First preference will be given to employees, their children or grandchildren; LCU Board of Directors or Advisory Committee, their children or grandchildren; and second preference to LCU members, their children or grandchildren.
Application process:
To apply for this scholarship students must go to the Worcester State University online scholarship portal www.worcester.edu/scholarships.To be eligible applicants must be enrolled at Worcester State and have a Worcester State email address. The application cycle begins in January and ends on April 15 of each academic year. Students are notified of their awards in early July for the next academic year. If chosen to receive the award, the student will have the amount of the award divided equally between the fall and spring semesters and it will show on the student’s invoice from the University as a credit.