Bill > H3081

This bill establishes a tax on local revenues from digital advertising. The key provisions are: 1. The bill imposes a tax on the annual gross revenues derived from digital advertising services in Massachusetts. Digital advertising services include advertisements on digital interfaces like websites, applications, and other digital platforms. 2. The tax rate varies based on the annual gross revenues of the person providing the digital advertising services: 5% for revenues between $50 million and $100 million, 10% for revenues between $100 million and $200 million, and 15% for revenues exceeding $200 million. 3. Persons with at least $100,000 in annual gross revenues from digital advertising services in Massachusetts must file a tax return and pay the required tax. Those expecting to exceed $100,000 in revenues must also file quarterly estimated tax returns. 4. The bill authorizes the Commissioner of Revenue to assess the tax if a person fails to file a required return or provides false information. The tax may be assessed at any time in certain circumstances, such as if a false return is filed or a federal adjustment report is not filed. 5. The bill takes effect for the tax year beginning January 1, 2022.

Budget and Finance

https://malegislature.gov/Bills/192/H3081