The bill amends Section 5G of Chapter 29 of the Massachusetts General Laws to establish the transfer of excess capital gains tax revenue for Fiscal Year 2025. It specifies that capital gains tax revenue exceeding the fiscal year threshold of $1,563,655,002 will be allocated as follows: 90% to the Commonwealth Stabilization Fund, 5% to the State Retiree Benefits Trust Fund (SRBTF), and 5% to the Commonwealth's Pension Liability Fund (PRIT). The bill outlines the certified revenue collected from capital gains income, which totaled $2,439,571,818.62 for the fiscal year, and details the transfers made to each fund based on this revenue.

Additionally, the bill includes provisions for adjustments to the transfers based on directives from the Secretary for Administration and Finance, which resulted in a reduction of $375,000,000 in Fiscal Year 2025 transfers. The net amount for transfer after this reduction is $500,916,816.62, with the final allocations being $450,825,134.96 to the Commonwealth Stabilization Fund, $25,045,840.83 to the SRBTF, and $25,045,840.83 to the PRIT. The bill also clarifies that revenue from the additional 4% income tax will not be considered capital gains income for the purposes of these calculations.