Digital Ad Taxes

What’s happening? Overriding a veto, Maryland is the first state to tax digital advertising. Now, Big Tech is suing to stop the bill.

Why is this important? There’s big money involved. The MD bill will generate revenue like this:

• 2.5% for companies with global annual gross revenues of $100 million through $1 billion
• 5% for companies with global annual gross incomes greater than $1 billion through $5 billion
• 7.5% for companies with global annual gross revenues greater than $5 billion through $15 billion
• 10% for companies with global annual gross revenues exceeding $15 billion

How will this be important? Revenue source. New revenue source. New revenue source. It’s like a money tree for elected officials. Opponents say it violates the Commerce Clause and is discriminatory.

Government Tech | Maryland’s Digital Ad Tax Under Pressure from Big Tech