Beginning November 1, 2021, the Louisiana Department of Revenue (âDepartmentâ) will be offering taxpayers the opportunity to participate in a voluntary transfer pricing âmanaged auditâ program (the âProgramâ). Pursuant to a recently released Department information bulletin, the purpose of the Program is to: Create an efficient and expedited resolution for corporate tax audits when transfer pricing issues exist; andProvide certainty and uniformity to taxpayers on the resolution of transfer pricing issues for open audit periods…
Connecticut legislative leaders recently announced support for a digital advertising tax (âConnecticut Digital Advertising Taxâ) proposed by the Connecticut Joint Committee on Finance, Revenue and Bonding (the âFinance Committeeâ). Connecticut joins Maryland, Massachusetts, New York, and Texas, among others, as states with concrete digital advertising tax proposals on the table (and in Marylandâs case, an enacted law).
On April 12, 2021, Maryland legislators passed Senate Bill 787, which proposed several significant amendments to Marylandâs digital ad tax (see Maryland Passes Digital Advertising Gross Revenues Tax After Overriding Veto). Governor Larry Hogan declined to take action with respect to signing or vetoing Senate Bill 787. As a result, the legislation automatically became law, effective May 12, 2021. Most notably, Senate Bill 787 delays the effective date of the digital advertising tax to tax…
State legislators in the Massachusetts House of Representatives recently introduced four bills on the taxation of digital advertising services. Two of these bills propose a tax on digital advertising services, a third bill would set up a âspecial commissionâ to study how to generate revenue from digital advertising, and a fourth bill appears to be a placeholder for some action on digital advertising taxation. This makes Massachusetts one of the latest states to join the wave of state digital advertising tax proposals targeting large digital advertising service providers. We have previously covered Marylandâs digital advertising tax, the first in the nation to become law, and various other statesâ pending digital and data tax proposals, including New York and Texas. Below, we summarize and compare the various Massachusetts proposals.