In the early hours of June 1st, the Illinois legislature passed Senate Bill 3019 (“SB3019”) as part of its 2027 fiscal year budget bill, with major implications for online advertisers and social media companies. The bill is expected to officially become law without modification. Key changes to come for Illinois taxpayers include: Targeted Advertising Services Tax Beginning January 1, 2027, a 10% gross receipts tax will be imposed on providers of “targeted advertising services,” echoing…
Several states continue to move forward with the taxation of digital advertising and new tax proposals have entered the fray. We last updated you on the attempts by Maryland, Nebraska, and New York. Nebraska had a hearing on its sales tax bill in February, with relatively little movement after that. In contrast, Maryland and New York have continued their move towards imposing taxes on digital advertising in some form and West Virginia has entered the mix.