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New Hampshire to File Lawsuit With U.S. Supreme Court Over Massachusetts Reg

Dated Oct. 19, 2020

SUMMARY BY TAX ANALYSTS

New Hampshire Gov. Chris Sununu (R) has announced that the state will file a lawsuit with the United States Supreme Court challenging a Massachusetts regulation implemented October 16 that imposes Massachusetts income tax on New Hampshire residents who are employed by Massachusetts companies but are working from home because of COVID-19.

NH To Challenge MA Taxation of NH Remote Workers In US Supreme Court

October 16, 2020

Concord, NH — Today, Governor Chris Sununu issued the following statement after the Massachusetts Department of Revenue published and approved a final rule that imposes Massachusetts' income tax on New Hampshire residents who are working from home for Massachusetts companies, despite strong opposition from New Hampshire residents:

“Within five minutes of learning of this rule change, I immediately directed the Department of Justice to file a lawsuit in the United States Supreme Court on Monday,” said Governor Chris Sununu. “The Commonwealth has launched a direct attack on the New Hampshire Advantage, attempting to pick the pockets of our citizens. We are going to fight this unconstitutional attempt to tax our citizens every step of the way, and we are going to win."

When Massachusetts proposed extending this unconstitutional taxation of New Hampshire citizens this past Summer, Governor Sununu immediately spoke out against the proposed rule and directed the Department of Justice to review it. Despite the DOJ's determination that the proposed rule raised various legal concerns, and the overwhelming opposition expressed at the proposed rule's public hearing, Massachusetts has made the decision to approve the rule and continue to confiscate income from Granite Staters during a global pandemic. Therefore, the State of New Hampshire will be taking this to the United States Supreme Court.

Note: Attorney General Gordon MacDonald and Governor Chris Sununu will make the filing official on Monday. Details on an announcement are forthcoming.

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