M-990T: Unrelated Business Income Tax Return (2025)
Massachusetts · Massachusetts DOR · Used for tax years 2025
Form M-990T is the Massachusetts Unrelated Business Income Tax Return for 2025. It reports unrelated business taxable income, calculates excise tax and credits, and shows payments, any refund, or the balance due. This return must be filed electronically; paper returns are not acc
What you'll need
Have these details and records ready:
- The corporation’s name, federal identification number, mailing address and contact information.
- Employee counts for Massachusetts and worldwide. Both are required.
- U.S. Form 990T, Schedule A, Parts I and II, which supply income and deduction figures for Massachusetts Schedule E.
- Records of estimated tax payments, any prior-year overpayment applied to this year, and any payment made with an extension.
Depending on the entries you report, the form calls for these supporting documents:
- Schedule CMS for credits, including refundable credits.
- Schedule CRS for credit recapture.
- Schedule D from U.S. Form 1120 for capital gain net income, and U.S. Form 4797 for gains or losses reported from that form.
- Statements for partnership or S corporation income or loss, and for other income.
- Schedule ABIE or Schedule ABI for exceptions to expense add-backs.
- Schedule F for the applicable apportionment percentage, Schedule NOL for a loss carryover deduction, and Schedule 63-WH for corporate excise withheld.
How to file
File electronically. The 2025 Form M-990T repeatedly states that paper returns will not be accepted.
For help with electronic filing, call 617-887-6367. The form also points to the DOR electronic filing and payment requirements and Technical Information Releases 16-9 and 21-9.
The form prints this mailing address: Massachusetts Department of Revenue, PO Box 7067, Boston, MA 02204. However, it expressly requires electronic filing, so the printed address does not mean you may file a paper return.
The declaration calls for the signature and title of an appropriate officer and the date.
Common mistakes
- Sending a paper return: The form says paper returns will not be accepted.
- Leaving employee counts blank: Massachusetts and worldwide employee counts are required.
- Using cents: The form directs you to use whole dollars.
- Claiming unrelated credits: Any credit claimed must be determined with respect to the unrelated business activity reported on this return.
- Counting a prior-year overpayment twice: Do not include the amount on line 9 again in estimated tax payments on line 10.
- Using line 12 on an original return: This line is only for payments with the original return when you are amending a return.
- Entering negative amounts where prohibited: Form M-990T line 6 and Schedule E, Part III, line 22 cannot be less than zero.
Questions people ask
How is the initial excise amount calculated?
Multiply total unrelated business taxable income on line 1 by 0.08, or 8%, and enter the result on line 2. Credit recapture and additional tax on installment sales are added before credits are subtracted.
Can an overpayment go toward next year’s estimated tax?
Yes. Enter the amount to apply to next year on line 17. Line 18 shows the remaining overpayment to be refunded.
Does the form ask about digital assets?
Yes. It asks you to mark a box if, during the year, the corporation received a digital asset as a reward, award or payment for property or services, or sold, exchanged or otherwise disposed of a digital asset or a financial interest in one.
Can DOR discuss the return with my paid preparer?
The form includes a box to authorize DOR to discuss the return with the paid preparer.