Maryland Is Looking To Tax Digital Advertising
Posted By Lukas Hernandez
The most important information I pulled:
Senators Miller and Ferguson introduced the bill on January 8th, 2020.
Maryland will tax a certain percentage depending on the companies Gross Revenue.
Companies that gross less than 100,000,000 will be exempt.
$100,000,000 THROUGH $1,000,000,000; 2.5%
$1,000,000,001 THROUGH $5,000,000,000; 5%
$5,000,000,001 THROUGH $15,000,000,000; 7.5%
GROSS REVENUES EXCEEDING $15,000,000,000; 10%
It came to me as a shock when I found out that Maryland is looking to tax Digital Advertising just like they tax tobacco and alcohol.
My initial thoughts: How can the Maryland government find this fair? How is an agency supposed to stay profitable after the costs of running a business with this new tax? How can I build my business to avoid paying these taxes? Do I even want Algorithmic Global to gross over 100,000,000?
After letting the news simmer, I sat down in some quiet space and decided this tax bill could be a good thing. How much help could 2.5%- 10% tax provide others? Maryland has its areas of poverty that could use some assistance; with the passing of the new tax bill, many others could benefit. The biggest enhancement that I would like to see for the state is education. Higher-quality education in the state can benefit many children and their future. The new challenge is to make sure Algorithmic Global takes into consideration that we will be taxed one day and the importance of constant preparation for when that day arrives.