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Rajeev mathur
Founder, HiValue Consulting
August 25, 2026
Digital ad tax is ultra vires existing laws.
On August 14, 2026, the Maryland tax court struck down the Maryland digital ad tax. The court made the following observations :
“Using a common sense approach to define and distinguish digital advertising services from non- digital, the court finds that, currently in the advertising industry, in academia, and in Maryland households, the provision of digital advertising services is indistinguishable from the provision of non- digital advertising ; they are even more aligned than similar”.
Experts in this area opine that the tax court rejected the digital tax bill due to the fact that this law is discriminatory between digital ads and analog offline ads.
Abridged blog from avalara .com
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