Maryland ruling may impact new Illinois taxes

Maryland Digital Advertising Ruling Shouldn’t Stop Other States from Considering Ad Taxes

Consumers are increasingly bombarded with advertisements based on our personal data. This explosion in targeted advertising is leading state policymakers to revisit the tax treatment of advertising, which has long been exempt from sales tax. Illinois, Utah, and Washington have recently enacted new taxes on some advertising, and other states are considering it. Predictably, large advertising platforms like Google and Apple that would pay much of …

Maryland tax court strikes down digital advertising tax

A Maryland tax court has struck down the state’s digital advertising tax as unconstitutional, according to a release from the Tax Foundation. Marylandmatters.org described the tax as a “first-of-its-kind state tax on some digital ads” and said the court found it violated the federal Internet Tax Freedom Act. “In the context of the ITFA (Internet Tax Freedom Act) … the Court reasons that Congress could not have been any clearer that it did not wa…

Maryland ruling may impact new Illinois taxes – Center Square

Maryland’s tax court found last week that the state’s digital advertising gross revenues tax violates the Tax Freedom Act, the Commerce Clause and the Due Process Clause. Andrew Wilford, director of state policy for the National Taxpayers Union Foundation said Illinois’ 10 percent targeted advertising services tax has one of the same fatal flaws. Wilford said federal law does not allow discrimination against digital products.

Maryland ruling may impact new Illinois taxes

(The Center Square) – A court ruling in Maryland may have implications for a trio of new taxes in Illinois.