Maryland Tax Court Voids Digital Ad Tax, Orders Refunds to Apple, Google and Peacock

The case has been closely watched by other states considering similar taxes.

Maryland Tax Court Voids Digital Ad Tax, Orders Refunds to Apple, Google and Peacock
Photo of Maryland Senate President Bill Ferguson on Jan. 2, 2020, by Julio Cortez/AP

ANNAPOLIS, Md., Aug. 18, 2026 (AP) — A Maryland state tax court has struck down the state’s first-in-the-nation tax on digital advertising and ordered state officials to repay the tax money already collected from big tech firms.

The Maryland Tax Court said the tax violates the federal Internet Tax Freedom Act as well as the First Amendment and the commerce and due process clauses of the U.S. Constitution.

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