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Mass. GOP Calls For Repeal of Software Tax

druss2007/dwr,flickr

Republican lawmakers and business groups are ramping up pressure on the Legislature to repeal a new sales tax on computer and software services.

The minority leaders of the House and Senate plan to file a bill on Monday to eliminate the 6.25 percent tax that took effect this summer as part of a massive transportation financing law. The tax has drawn sharp criticism from technology companies in the state.

The Massachusetts Taxpayers Foundation, which also opposes the tax, released a new analysis on Monday that the group said showed the state was now imposing the highest tax on software services in the nation.

Democratic legislative leaders and Gov. Deval Patrick have indicated that if the tax is repealed, it would have to be replaced by another equivalent source of revenue.

[Associated Press]

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