Republican Legislators Successfully Advocate for Repeal of Technology Tax

Yesterday, Republican legislators from the House of Representatives were successful in their quest to repeal the Democrat-approved job killing computer services tax, all while refraining from implementing any new revenue measure.

“The repeal of the tax on the technology industry is the direct result of the hard-work, dedication and resilience of Beacon Hill Republicans, as well as our partnership with industry professionals,” said House Minority Leader Bradley H. Jones, Jr. (R-North Reading). “Today’s vote to eliminate the technology tax further illustrates the ill-effects of the Democrats’ tax-then-ask approach to revenue. House Republicans will continue to vehemently oppose any attempt to suppress economic growth, and we will remain steadfast in our support of the taxpayers and small businesses of the Commonwealth.”

The repeal of the tax, widely regarded as the largest and broadest tax on computer and software services in the nation, marks the culmination of a six-month long endeavor by legislative Republicans to eliminate the unprecedented revenue measure.

Having recognized the deleterious effect of a tax on the technology industry, contained within a $500 million transportation plan, House Republicans not only formally requested a public hearing for the massive tax hike, but also went as far as to offer an alternative transportation finance plan – free from any statewide tax increase. While both initiatives were defeated at the hands of House Democrats, the Republican Caucus refused to be cast aside in their tenacious opposition to a tax on the high-tech industry.

Knowing the importance of engaging those individuals adversely affected by this ill-conceived approach to revenue, the House Republican Caucus embarked on a statewide, weeklong series of roundtable discussions with technology industry professionals, and Chambers of Commerce. The 2013 GOP Technology Tax Business Roundtables gave local businesses and Chambers of Commerce, which would have been severely impacted by this reckless tax, the chance to discuss the detrimental effects and ways to reverse what would surely have suppressed future economic growth within the technology industry and the Commonwealth.

As the majority party continued to defend their careless vote to increase taxes on one of the state’s most vital economic forces, and in some cases alter their stances, Republicans returned to the drawing board and unveiled legislation to repeal the Democrat-approved job-killing computer services tax. The legislative measure, which contained the same language as a ballot question approved by Attorney General Martha Coakley, was just the latest effort the minority party put forth to eliminate this unprecedented tax.

Having passed the House of Representatives, the legislation will now move to the State Senate for consideration.

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House Minority Leader Brad Jones’ Statement on Repeal of Technology Tax by House of Representatives

House Minority Leader Bradley H. Jones, Jr. (R-North Reading) issued the following statement today in response to the House of Representatives’ vote to repeal the technology tax:

“I am proud of my Republican colleagues in the House of Representatives for their hard work, dedication and resilience in leading the charge to repeal the largest and broadest tax on computer and software services in the nation.

Additionally, I would like to thank the technology community for their proactive opposition to the disastrous tax on their livelihood. Their voices were loud, adamant, and unrelenting. Their partnership assisted Beacon Hill Republicans in successfully repealing the devastating tax on the innovation economy.

A tax on one of the Commonwealth’s most vital and vibrant sectors should have never seen the light of day, and Beacon Hill Democrats should be ashamed that they green-lighted such a crippling revenue measure. Almost as alarming is their attempt to backtrack and distance themselves from their affirmative vote on a tax which Republicans opposed from the onset.

Today’s vote to eliminate the technology tax further illustrates the ill-effects of the Democrats’ tax-then-ask approach to revenue. House Republicans will continue to vehemently oppose any attempt to suppress economic growth, and we will remain steadfast in our support of the taxpayers and small businesses of the Commonwealth.”

House and Senate Minority Leaders’ Statement on Democrats’ Technology Tax About-Face

House Minority Leader Bradley H. Jones, Jr. (R-North Reading) and Senate Minority Leader Bruce E. Tarr (R-Gloucester) issued the following statement today in response to Democratic Leadership’s support of repealing the technology tax:

“For close to six months, House and Senate Republicans have been warning the technology industry, general public, and our colleagues across the aisle of the disastrous effects of a tax on the computer software industry. Our warnings were not heeded, and the Democratic-majority green lighted the largest and broadest tax on computer and software services in the nation.

Today’s about-face is a clear indication that our Democratic colleagues finally understand how reckless and destructive it is to tax one of our state’s most profitable sectors.

We urge the Speaker and Senate President to immediately consider legislation filed by the House and Senate Republican caucus which would repeal the misguided and destructive revenue measure – without replacing it with a new revenue source.”

We Remember...

Today, we gather as families, communities, and more importantly as Americans to remember those individuals who lost their lives on September 11, 2001.

Let us never forget.

Special Elections – 6th Bristol, 16th Worcester, and 12th Suffolk Districts

In case you forgot, today is the special election for three seats in the Massachusetts House of Representatives.

In the race for the 6th Bristol District, Republican David Steinhof is facing off against Democrat, and former Governor’s Council member, Carole Fiola. This race is for the seat left vacant when Representative David Sillivan of Fall River resigned to lead the Fall River Housing Authority.

The second special election contest being held today is in the 16th Worcester District for the seat vacated by John Fresolo. The race for this seat finds Republican Carol Claros facing off against Democrat Daniel Donohue.

Finally, the 12th Suffolk District finds Democrat Dan Cullinane facing off against Independent Lincoln Larmond, and Edmond Romulus. The seat the three cadidates are vying for was vacated when Linda Dorcena Forry was elected to the Massachusetts State Senate.

To find out where you vote, please click here.

Republican Legislators Unleash New Effort to Repeal Technology Tax

Today, Republican legislators from both the House and Senate Caucuses unveiled legislation to repeal the Democrat-approved job killing computer services tax. The legislative measure, which contains the same language as the ballot question recently approved by Attorney General Martha Coakley, is just the latest effort the minority party has put forth in eliminating this unprecedented tax.

Announced during a press conference at Genuine Interactive, a leading interactive agency, the proposed bill puts forth a targeted approach to repealing the largest and broadest tax on computer and software services in the nation.

“We can’t afford to penalize innovation and job creation in one of the state’s most promising sectors if we hope to have the kind of robust economic recovery that creates the jobs people need and the tax revenue state government depends on,” said Senate Minority Leader Bruce Tarr (R-Gloucester). “The time is now to change course from increasing taxes on productivity and focus on creating a climate for job growth and reform and efficiency in our state’s operations.”

The filing of legislation comes on the heels of the Massachusetts House and Senate Republican Caucus’ statewide 2013 Technology Tax Business Roundtables. The weeklong series of roundtable discussions conducted by Republican lawmakers included conversations with technology industry professionals and representatives from area chambers of commerce about the negative effects of the technology tax. The roundtable discussions were initiated due to the fact that Democratic leadership did not provide a public hearing to solicit public testimony from those affected by the tax on software and computer services.

“Since this reckless tax on the technology industry was approved, we have seen a steady decline in business confidence within Massachusetts,” said House Minority Leader Brad Jones (R-North Reading). “There remains absolutely no appetite for this tax, and it continues to hurt the economic prospects for one of our state’s most vibrant and prosperous trades, as well as other industries who are suffering from the trickle-down effect of this careless revenue mechanism. The way to encourage growth and development within the Commonwealth is not through ill-conceived taxes, but through business-friendly directives and initiatives.”

Republican lawmakers highlighted the fact that the Commonwealth does not collect taxes on any other service, and expressed fear that the computer services tax sets a dangerous precedent for future efforts to tax other vital services. Furthermore, House and Senate Republicans had each offered revenue-neutral proposals, which if passed, would have avoided the implementation of the technology tax. Industry leaders such as the Massachusetts Taxpayers Foundation and the Massachusetts High Technology Council have repeatedly warned of the destructive nature of the new tax which is slated to stifle the high-tech industry by close to $500 million a year.

"Genuine Interactive started off as a four person agency in 2005 and since then, it's grown to a 100 person company," said John Grayson, Chief Executive Officer of Genuine. "This tax on technology services is negatively impacting the business and is threatening the future of the entire technology and innovation industry. Out-of-state vendors are seeing this as an opportunity to attract businesses away from Massachusetts and that is going to affect the overall economy of the Commonwealth. In a market where work is already being outsourced to other countries, this puts yet another burden on the technology economy in Massachusetts."

Having been filed in both the House and Senate, the joint legislation awaits assignment to a legislative committee.

MEDIA ADVISORY - Republican Lawmakers to Unveil Legislation Repealing Technology Tax

Republican lawmakers, led by House Minority Leader Bradley H. Jones (R–North Reading) and Senate Minority Leader Bruce E. Tarr (R-Gloucester), will hold a press conference Monday afternoon to unveil legislation aimed at repealing the technology tax.

The filing of legislation comes on the heels of the Massachusetts House and Senate Republican Caucus’ statewide 2013 Technology Tax Business Roundtables. The weeklong series of roundtable discussions conducted by Republican lawmakers included conversations with technology industry professionals and representatives from area chambers of commerce.

The Republican lawmakers will be joined by John Grayson, Chief Executive Officer of Genuine Interactive, a Boston-based interactive agency.

The press conference will be held Monday afternoon (September 9th) at 2:30 p.m. at Genuine Interactive – 500 Harrison Avenue, 5R, Boston, MA 02118.

House Minority Leader Brad Jones’ Statement on Attorney General’s Certification of Ballot Initiative to Repeal Technology Tax

House Minority Leader Bradley H. Jones, Jr. (R-North Reading) issued the following statement today in response to Attorney General Martha Coakley’s certification of the ballot initiative to repeal the technology tax:

“I am pleased to hear that Attorney General Martha Coakley has certified language aimed at repealing the crippling technology tax. By clearing this hurdle, activists and proponents can now turn their attention to collecting the necessary amount of signatures to place this initiative on the ballot next November.

  During the recent 2013 GOP Technology Tax Business Roundtables, Republican legislators heard from computer software businesses and Chambers of Commerce about the devastating effect of this reckless tax on the computer services industry.

While I remain extremely supportive of the ballot effort, House and Senate Republicans will continue our quest to ensure that this tax is eliminated at the legislative level.”