An Act establishing a tax on local revenues from digital advertising

HD 1007 establishes a new tax on digital advertising revenue generated within the commonwealth, targeting large companies with significant digital ad sales. It imposes tiered tax rates (5% for $50M-$100M in annual gross revenue, 10% for $100M-$200M, and 15% for over $200M) on the "assessable base" (revenue from digital ads in the state). Companies earning over $100,000 annually from digital advertising in the commonwealth must file annual returns by April 15 and quarterly estimated tax payments. The tax begins for the 2026 tax year, applying to digital advertising services shown to users in the state via IP address or reasonable presumption.