State Ad Taxes Update

ANA is currently leading the fight against multiple proposed state ad taxes. In New York State. S. 302 and its Assembly companion A. 734 have been introduced.  If passed, they would result in New York becoming the first state to impose a sales tax on “advertisement services on a digital interface, including advertisements in the form of banner advertising, search engine advertising, interstitial advertising, and other comparable advertising services which markets or promotes a particular good, service, or political candidate or message.” Additionally, Sen. Gianaris has reintroduced the DATA Act (S. 1124) for this legislative session, which also would impose taxes on data.

In Maryland, the Maryland Legislature seems poised to attempt to override Governor Larry Hogan’s veto of the tax on digital advertising revenues. As part of our efforts, ANA and others have launched Marylanders for Tax Fairness which developed and is currently implementing a full-scale campaign urging lawmakers to sustain the Governor’s veto.

A digital sales tax was also proposed in Washington State, but the state’s budget office has shelved the bill for now.

As a part of ANA’s attempts to fight against any proposal to tax advertising, we have launched a coalition to convene likeminded groups to fight these proposals. We strongly urge you to become involved in this coalition. To join ANA’s ad tax coalition please reach out to ANA Associate Manager, Government Relations Travis Frazier at tfrazier@ana.net.

About the ANA: The ANA (Association of National Advertisers) serves the marketing needs of 20,000 brands. The ANA’s membership consists of U.S. and international companies, including client-side marketers, nonprofits, fundraisers, and marketing solutions providers (data science and technology companies, ad agencies, publishers, media companies, suppliers, and vendors).