Posted on 10/01/2013 9:30:28 AM PDT by ThethoughtsofGreg
At first blush, the Massachusetts “tech tax” appears similar to tax regimes in other states. However, the Massachusetts tax on computer software services has a unique set of implications—and would likely have an unprecedented impact on the state’s tech economy.
The software services tax or “tech tax” passed in July would tax all computer software services, including cloud computing and data storage operations. The legislature intended for the tax to raise $160 million for transportation improvements, but many believe the wide range of services eligible for taxation coupled with the law’s ambiguous language would yield upwards of $500 million.
Massachusetts is currently the only state specifically targeting services associated with computer systems and software. The state also stands alone in the decision to tax such a broad range of services at such a high rate—6.25 percent.
(Excerpt) Read more at americanlegislator.org ...
“If it moves, tax it. If it keeps moving, regulate it. It if stops moving, subsidize it.” —Ronald Reagan
Democratic Taxation Failure. DOH!
Just to be clear -- Reagan was describing the leftist view of the function of government, not his own view.
The tax was for “transportation improvements”, baloney. LOL
Half the money was going into paying bloated MA pensions!
Anybody who doesn’t recognize Ron’s statement as ridicule is beyond hope anyway.
I work for the number one Tech company in MA and one of the top 2 software/hardware storage companies in the world. I would have been out of a job if this tax had gone through.
Everyone would have moved their Tech Support Call Centers to New Hampshire. The only reason Deval went along with the repeal is because he wants it to be higher.
I was thinking that many of your employer's customers (e.g., universities and hospitals) are run by people who have a direct line to Obama. The Bacon Hill crowd got greedy and forgot who their betters are.
BWAAAHAAAAAHAAA!
What an idiot governor.
He was for it before he was against it!
Government FAIL at all levels: local, state, and fed.
It took 7 paragraphs to even mention Deval Patrick’s name. It should be in the first paragraph...or in the headline.
Could very well be. Support here changed to a cost center about 8-9 years ago. I’ll bet they mentioned to customers how much the pricing on their support contracts would increase if they had to move.
Don’t need cloud computing or commercial software.
Yep, Gov. Mini me is a liberal hack who managed to chase Intel out of Hudson Ma and lose 700 jobs, before he caved on this bill to pay retired cronies.
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