Pennsylvania’s sales tax on computer services was repealed in 1997, but some Pennsylvania lawmakers may be eyeing this exemption as an opportunity to balance Pennsylvnaia’s 2009-2010 budget.
Though no legislation has been introduced to date, the Council’s government affairs team has learned that back-room discussions have included discussions about expanding the applicability of the sales and use tax to a broad array of service-oriented industries.
The computer services sales tax, which was levied for the first time in 1991, but repealed in 1997 after intensive industry lobbying, would increase taxes on Pennsylvania technology firms by more than $349 million in the upcoming budget year.
To be sure, once a new tax is enacted, it is extremely difficult to have it repealed. With this in mind, its imperative that we stop this tax before its gets a chance at a second life in Pennsylvnaia. Please use the Capwiz Tool to communicate your opposition to your Pennsylvania legislators! Access it here: http://capwiz.com/pghtech/issues/alert/?alertid=13915646&PROCESS=Take+Action
For more information or if you are willing to play a more active role in efforts to prevent this tax expansion, contact Brian Kennedy, Vice President of Government Affairs at the Council, immediately at bkennedy@pghtech.org or 412-918-4297.
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