[psi_rockin]

Although it's certainly obnoxious and poorly thought out, in the long run we development shops will get all the edge cases figured out, though dealing with the legislature is going to be like pulling teeth. Although it would increase startup costs and decrease ROI for us, let's not forget who actually pays this tax: our clients, the buyers of these services. If you are a Massachusetts company and you buy technical services, you now have a really strong incentive to head north to New Hampshire or south to Rhode Island. Massachusetts is also small enough that you might be able to pull that off without losing too many employees.

[bhickey]

If you're looking to minimize your taxes, Rhode Island is a poor choice. Property tax in Providence is $33.75 per $1000 ($19.25 for owner-occupied property) levied on 100% of the assessed value. On top of this, the state has a huge unfunded pension liability and municipal benefits liability (~$2.3bn). State employees and teachers benefits add up to another $7bn.

When the other shoe drops, the money is going to come from somewhere or the state will go bankrupt.