Massachusetts S 1938: An Act to increase accountability in the sale of personal data

Bill Text

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SENATE DOCKET, NO. 1668        FILED ON: 2/18/2021 
SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1938 
 
The Commonwealth of Massachusetts 
_________________ 
PRESENTED BY: 
Susan L. Moran 
_________________ 
To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General 
 Court assembled: 
 The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: 
An Act to increase accountability in the sale of personal data. 
_______________ 
PETITION OF: 
 
NAME: DISTRICT/ADDRESS:  
Susan L. Moran Plymouth and Barnstable  
Michael O. Moore Second Worcester 3/9/2021 

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SENATE DOCKET, NO. 1668        FILED ON: 2/18/2021 
SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1938 
By Ms. Moran, a petition (accompanied by bill, Senate, No. 1938) of Susan L. Moran and 
Michael O. Moore for legislation to increase accountability in the sale of personal data.  
Revenue. 
 
The Commonwealth of Massachusetts 
 
_______________
 
In the One Hundred and Ninety-Second General Court 
(2021-2022) 
_______________
 
 
An Act to increase accountability in the sale of personal data. 
 
 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority 
of the same, as follows: 
 
1 SECTION 1. The General Laws are hereby amended by inserting after chapter 65C the 
2following chapter:-  
3 CHAPTER 65D.  TAXATION OF SALES OF DATA  
4 Section 1. Definitions. As used in this chapter, the following words shall, unless the 
5context clearly requires otherwise, have the following meanings:   
6 (a) “Address”, physical, mailing, or internet protocol addresses, or similar addresses.  
7 (b)  “Engaging within this state”, any business entity, including foreign and domestic 
8entities, that generates gross income of the business from selling or exchanging for consideration 
9personal information of individuals located in the Commonwealth and has gross income 
10attributable to the sale, or exchange for consideration, of personal information of residents of the 

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11Commonwealth. For the purposes of this chapter, an individual is located in this state if any 
12addresses of that individual is located in this state.   
13 (c) “Personal information” means information that identifies, relates to, describes, or is 
14capable of being associated with a particular individual, including but not limited to their name; 
15physical address, mailing address, or other locational information; telephone number; email 
16address; internet protocol address; signature; physical characteristics or description; biometric 
17data; driver’s license number, state identification car number, passport number, social security 
18number, or other government-issued identification number; bank account number, debit card 
19number, credit car number, or any other financial information; insurance information; medical 
20information; employment information; and educational information; browser habits; consumer 
21preferences; and any other data that can be attributed to an individual and can be used for 
22marketing, or determining access and costs related to insurance, credit, or health care.   
23 Section 2. Every person or entity engaging within this state in the business of making 
24sales of personal information or exchanging personal information for consideration must register 
25with the department.   
26 (a) Registration under this section must be completed annually, at the date set by the 
27department, and must consist of the following:   
28 (1) The name, principal place of business, and character of the business, including: (i) 
29The specific types of personal information from residents of the Commonwealth sold or 
30exchanged for consideration; (ii) the types of entities that personal information is sold to or 
31exchanged with for consideration; (iii) The sources and methods by which the personal 
32information was obtained; and (iv) the gross income of the business attributable to the sale, or 

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33exchange for consideration, of personal information of residents of the Commonwealth, to be 
34calculated using the following:   
35 (A) The ratio, expressed as a percentage, that the number of Massachusetts addressed in 
36the  personal information bears to all addresses in the personal information; or (B) if the ratio 
37in (A) of this subsection is not readily attainable, the ratio, expressed as a percentage, that the 
38population of this state bears to all the states of the United States in the taxpayer’s market, or by 
39any other reasonable methods allowed by the department; and   
40 (2) Submission of a return, in the form prescribed by the commissioner   
41 (b) A person who is required to register under subsection (a) of this section and who fails 
42to do so , or submits incomplete or inaccurate information, is subject to a fine of up to one 
43hundred dollars, indexed annually for inflation beg