Software Vendor Challenges Massachusetts’ Restrictive Policy on Multiple Points of Use Certificates

Software purchasers that have paid Massachusetts sales tax on the full purchase price for software that was also concurrently available for use by employees outside Massachusetts, should consider filing protective refund claims awaiting the resolution of pending litigation at the Appellate Tax Board challenging the Department's policy regarding multiple points of use ("MPU") certificates. Specifically, a software vendor is contesting (on behalf of a purchaser) the Department's position that a purchaser's failure to provide an MPU certificate to the vendor at the time of purchase bars the purchaser from later claiming MPU apportionment on software purchased from the vendor through a refund claim.