Massachusetts Awarded Life Sciences Tax Incentives

The state provided $40 million to 38 companies to drive job growth across the biotech industry.

Updated on Sept. 29, 2026 in Biotech

Isometric editorial illustration of clean glass lab beakers and geometric protein structures, representing the biotech industry and state economic policy. — Massachusetts awarded $40 million in tax incentives to 38 life science companies, a strategic initiative designed to create over 1,600 jobs statewide. AI Illustration. Upload story photo >

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Massachusetts has issued $40 million in tax incentives to 38 life science companies, a move designed to stimulate growth in research and manufacturing. These awards are projected to result in the creation of over 1,600 new jobs statewide.

Why it matters

This program supports the expansion of the state's life sciences sector, with a specific focus on encouraging development outside of the traditional hubs of Boston and Cambridge. Awardees must maintain their job commitments over a three-year period to receive the full benefit of these incentives.

The state awarded $40 million to 38 companies, with Insulet Corporation receiving $10 million, Lila Sciences Inc. $3.6 million, and Bristol-Myers Squibb Company over $2.8 million. These investments are expected to generate 1,600 new jobs, with 31 of the 38 firms expanding operations outside of Boston and Cambridge.

The players

Massachusetts Life Sciences Center

This state agency administers the life sciences tax incentive program in collaboration with the Department of Revenue.

Insulet Corporation

An Acton-based company that received $10 million in incentives and is expected to create 250 jobs.

Lila Sciences Inc.

A Cambridge-based company that was awarded $3.6 million and projected to create 200 jobs.

Bristol-Myers Squibb Company

A global pharmaceutical firm with a Devens facility that received over $2.8 million in incentives.

The details

The Massachusetts Life Sciences Center and the Department of Revenue manage this incentive program, which was expanded by the Mass Leads Act. Companies including Insulet, Lila Sciences, and Bristol-Myers Squibb have committed to specific hiring goals that contribute to the broader state-level target of over 22,300 cumulative jobs since the program inception.

The statutory tax incentive cap was raised to $40 million in November 2024.
Awarded companies must maintain their job commitments over a three-year period.

Market Landscape

These awards follow the recent implementation of the Mass Leads Act, which increased the statutory tax incentive cap to $40 million. This expansion reflects a competitive effort to grow the regional life sciences cluster by incentivizing firms to expand their research and manufacturing footprints.

The initiative aims to bolster the local economy by creating over 1,600 jobs across various municipalities. By incentivizing companies to expand outside of major hubs like Boston, the program may bring new employment opportunities and business investment to smaller communities across the state.

The takeaway

This state-led program demonstrates the use of targeted tax incentives to decentralize high-tech industrial growth. Readers should monitor regional job markets in areas outside major city centers for potential new employment opportunities.