This is not only for drupal developers so please pass it along, but according to FAQ #10 it seems to apply directly to all of us as long as you are in Massachusetts.
In order to try to collaborate and keep information available we ask that you utilize mass-it.org as a resource to discuss these issues since this has affects far beyond the drupal community!
As you may have heard there is a new sales tax for the IT industry that passed last Wednesday July 31st. In speaking with several colleagues we have had some difficulty discerning where if at all this new tax applies to our industry as web developers. I am reaching out to you for two purposes today.
I am a web developer so I am primarily concerned with that, but I work closely with many IT companies that aren't sure how to handle this tax either.
- To tap into your resources so we can collectively determine the affects of this new tax.
- To help spread the word as many did not know the law was even being discussed.
The gist of the law seems to be that modifications to existing software is now sales taxable in MA. Legislators say it wasn't targeting web developers, but the FAQ (#10) seem to apply directly to web developers.
For IT professionals even if you deal mainly with hardware per FAQ #7 labor for installing software is now taxable as well.
If you know anybody in the Massachusetts IT industry please forward this message along.
If you know of any industry advocates we can discuss this with that would be extremely valuable as well.
Some links about the laws and changes:
A DOR website page dedicated to providing information on the recent tax changes may be accessed
at www.mass.gov/dor/newtaxinfo.
The Technical Information Release related to the application of the sales and use tax on computer/software
services and a set of FAQs on the subject matter may be accessed from this page. See the newest FAQs below.
DOR anticipates providing further guidance on the application of sales and use tax on computer/software
services and asks that any comments or suggestions be submitted to rulesandregs@dor.state.ma.
For additional information or questions, please call 617-887-6367 or 800-392-6089 in MA only.
News article: http://www.necn.com/07/26/13/Uproar-follows-impending-Mass-software-t/la...
Thank you for your time and consideration,