How does ACH Credit work?
The Automated Clearing House (ACH) credit transaction option requires the taxpayer to instruct its bank to debit their bank account and credit the Commonwealth of Massachusetts’ bank account. The taxpayer specifies the dollar amount, payment effective date, tax type, and tax period being paid. The taxpayer’s bank originates an ACH transfer transaction that must adhere to the Cash Concentration of Disbursement plus the Tax Payment Addendum (CCD+TXP) format defined by DOR in the detail record layout provided after receipt of an ACH Credit Application for Participation.
The Automated Clearing House (ACH) credit transaction option requires the taxpayer to instruct its bank to debit their bank account and credit the Commonwealth’s bank account. The taxpayer specifies the dollar amount, settlement date, tax type, and tax period being paid. The taxpayer’s bank originates an ACH transfer transaction that must adhere to the Cash Concentration of Disbursement plus the Tax Payment Addendum (CCD+TXP) format defined by DOR in the detail record layout provided after receipt of an ACH Credit application for participation (PDF).
The ACH Credit method requires the taxpayer to instruct its bank to debit its bank account and credit the Commonwealth’s. The taxpayer specifies the dollar amount, settlement date, tax type, and tax period being paid. The taxpayer’s bank originates an ACH transaction using the CCD+ format defined by DOR.
