fbpx

Tech Industry Challenges Maryland Online Ad Tax

Tech Industry Challenges Maryland Online Ad Tax

WASHINGTON—Groups representing major technology companies filed a lawsuit Thursday challenging Maryland’s new online advertising tax, contending it is

Puerto Rico governor rejects key deal with creditors to reduce debt due to pension cuts
Former Zappos CEO Tony Hsieh Dies at 46
Prosecutors request arrest warrant for Kyle Rittenhouse after he allegedly violates bond

WASHINGTON—Groups representing major technology companies filed a lawsuit Thursday challenging Maryland’s new online advertising tax, contending it is an improper levy on the internet.

The suit in U.S. District Court in Maryland challenges the state’s recently enacted gross-receipts tax on digital advertising revenue as unconstitutional and illegal under a federal internet tax moratorium.

The plaintiffs include the U.S. Chamber of Commerce, the Internet Association, NetChoice and the Computer and Communications Industry Association. Big tech companies including Facebook Inc., Alphabet Inc.’s Google unit and Amazon.com Inc. are represented by the groups.

The suit will be closely watched as other cash-strapped states look to the growing online economy as a new source of tax revenue.

Representatives of the tech companies contend that the tax will unfairly hit small businesses that depend on the internet during the coronavirus pandemic.

This post first appeared on wsj.com

Do You Enjoy This Article?
Sign up for our newsletter and receive FREE access to download SuccessDigest Digital Weekly Edition for attainment of your financial freedom in the new digital economy!

Invalid email address
We promise not to spam you. You can unsubscribe at any time.

COMMENTS

WORDPRESS: 0
DISQUS:
%d bloggers like this: