Some Massachusetts employee business expense deductions may only be claimed if the employee itemizes deductions for federal tax purposes. The rules vary for withholding income tax on employees who temporarily travel outside of their resident state for work.Click on Tax Withholding from the Atlas menu. Enter the extra amount you would like to have withheld from your pay in the "Additional Withholding" field. You can deduct a part of your medical and dental expenses, and amounts you paid for certain taxes, interest, contributions, and other expenses. Each category of expense has rules governing what is allowable, variations in the approval process, and any exceptions to the administrative standards. You must withhold personal income tax. MIT is exempt from paying state sales tax on the goods and services it purchases in Massachusetts and in 29 other US states. Prepare the return must sign it and fill in the "Paid Preparer Use. Similarly, Massachusetts source income of any pass-through entities engaged in a unitary business that conducts a trade or business in Massachusetts is taxable.