21Sep
Filed in Cloud computing | Government | Technology
Cities see loss of sales taxes as companies subscribe to cloud computing services and begin asking states to change tax rules.
Cloud computing is one of those disruptive shifts in technology that has Silicon Valley giddy with excitement. Just don’t expect to find local governments among those cheering this revolution.
Thanks to California’s hopelessly outdated sales tax rules, the move to delivering technology through the Web — the essence of cloud computing — is eroding the sales taxes that towns depend on to fund everything from police to parks. And as cloud computing extends its reach, it promises to further squeeze the budgets of towns that have already been pinching pennies for years.
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Article source: http://www.santacruzsentinel.com/business/ci_18905836
clouds, Technology