Steve Kranz discusses Maryland digital ad tax ruling's ripple effects in Bloomberg Tax

Bloomberg Tax recently featured Steve Kranz’s insights on the Maryland Tax Court’s sweeping rejection of the state’s first-in-the-nation digital advertising tax, and what the ruling could mean for similar laws now on the books in Illinois, Utah, and Washington. The court found that Maryland’s tax ran afoul of the federal Internet Tax Freedom Act, along with the US Constitution’s commerce and due process clauses and the First Amendment.

Steve, who represented one of the plaintiffs in the Maryland litigation, told Bloomberg Tax that state officials in Illinois, Utah, and Washington are watching the decision closely because their own digital advertising taxes track much of the same legal territory. “We have long said the states that follow Maryland will also follow them to the courthouse, and with Utah we’re already there. With Illinois we are evaluating our litigation options,” he said. Steve is also representing the Utah Taxpayers Association in its challenge to that state’s targeted advertising tax.