Maryland’s attempt to stop businesses from telling customers about a controversial tax has hit a constitutional wall. On August 15, 2025, the US Court of Appeals for the Fourth Circuit ruled that the state’s “pass-through”...more
8/20/2025
/ Appeals ,
Appellate Courts ,
Chamber of Commerce ,
Compelled Speech ,
Constitutional Challenges ,
Digital Advertising Tax ,
Digital Taxes ,
First Amendment ,
State and Local Government ,
State Taxes ,
Taxation ,
Unconstitutional Condition
Washington’s sales tax on advertising services takes effect October 1, 2025, and comes in two forms: a tax on digital automated services and a tax on retail sales of advertising services. Both impositions apply to digital...more
8/12/2025
/ Advertising ,
Business Taxes ,
Buyers ,
Department of Revenue ,
Digital Advertising Tax ,
New Legislation ,
Sales Tax ,
SALT ,
Sellers ,
State and Local Government ,
State Taxes ,
Taxation ,
Washington
Senator Steven Glazer, chair of the California State Senate Revenue and Tax Committee, is treating data like the next gold rush and taking bold steps to mine this new vein of wealth with his proposed “Digital Data Extraction...more
Nebraska Governor Jim Pillen’s ambitious plan to provide $2 billion in property tax relief via an increase in the sales tax rate and an expansion of the sales tax base is stirring significant debate. Part of his proposal is...more
1/19/2024
/ Advertising ,
Commerce Clause ,
Constitutional Challenges ,
Digital Advertising Tax ,
Digital Service Providers ,
Internet Tax Freedom Act ,
Legislative Agendas ,
Maryland ,
New Legislation ,
Property Tax ,
State and Local Government ,
State Taxes ,
Tax Litigation ,
Tax Relief
Winter is coming, and so are denials of taxpayer refund claims for return of the illegally extracted Maryland digital ad tax (DAT). Sources in Annapolis report the Maryland Comptroller is preparing denial notices imminently....more
In a brief filed on April 29, 2022, the Maryland Attorney General’s Office (Attorney General) agreed that the “pass-through prohibition” of the state’s digital advertising tax “does not purport to impose any restriction on...more
On December 3, 2021, the Maryland Comptroller published notice of its adoption of the digital advertising gross revenues tax regulations (which was originally proposed on October 8, 2021). Per the Maryland Administrative...more
On the morning of Friday, February 26, 2021, the Maryland Senate Budget and Taxation Committee added a new item to its agenda for the hearing later that morning. The new item was proposed amendments to Senate Bill 787, a bill...more
Yesterday, McDermott Will & Emery filed suit in Maryland federal court on behalf of a number of leading trade associations against Maryland Comptroller Peter Franchot, challenging the state’s recently enacted 10% gross...more
General Assembly Veto Override -
On February 12, 2021, the Maryland General Assembly overrode Governor Larry Hogan’s veto of HB 732 (2020) (the Act), a bill enacting a first-of-its-kind digital advertising services tax on...more
On April 13, S. 8166 was introduced in the New York Senate, which would expand the sales tax base to include receipts from the sale of digital advertising services. The bill would dedicate the revenue raised to student loan...more
With gatherings larger than 50 people banned and the State House cleared of visitors, on March 18, 2020, Maryland’s legislature approved HB 732, which contains a massive new punitive tax on digital advertising services, and...more