Maryland passes Digital Advertising Service Tax

The Maryland legislature passed H.B. 732, which proposes a new tax on Digital Advertising Gross Revenues Tax.  “Digital advertising services” broadly includes “advertisement services on a digital interface, including advertisements in the form of banner advertising, search engine advertising, interstitial advertising, and other comparable advertising services.”

The legislature also passed H.B. 932, which would expand Maryland’s sales tax to sales of digital products.

The bills will be sent to the Governor for signature or veto.