Maryland 2025 Regular Session

Maryland House Bill HB546 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3	3		EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4	4		[Brackets] indicate matter deleted from existing law.
5		-	Underlining indicates amendments to bill.
6		-	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7		-	amendment.
8	5		hb0546
9	6
10	7		HOUSE BILL 546
11	8		Q7 5lr1882
12		-	HB 1067/24 – W&M CF ~~SB 605~~
	9	+	HB 1067/24 – W&M CF 5lr2395
13	10		By: Delegate Feldmark
14	11		Introduced and read first time: January 22, 2025
15	12		Assigned to: Ways and Means
16		-	Committee Report: Favorable
17		-	House action: Adopted
18		-	Read second time: March 1, 2025
19	13
20		-	~~CHAPTER ______~~
	14	+	A BILL ENTITLED
21	15
22	16		AN ACT concerning 1
23	17
24	18		Digital Advertising Gross Revenues Tax – Assessments – Appeals and 2
25	19		Corrections 3
26	20
27	21		FOR the purpose of establishing a certain appeal process for persons who are subject to the 4
28	22		digital advertising gross revenues tax and receive a notice of assessment from the 5
29	23		Comptroller; authorizing the Comptroller or the Comptroller’s designee to issue an 6
30	24		order to correct an erroneous assessment of the digital advertising gross revenues 7
31	25		tax, subject to certain conditions; and generally relating to the digital advertising 8
32	26		gross revenues tax. 9
33	27
34	28		BY repealing and reenacting, without amendments, 10
35	29		Article – Tax – General 11
36	30		Section 13–402(a)(6) 12
37	31		Annotated Code of Maryland 13
38	32		(2022 Replacement Volume and 2024 Supplement) 14
39	33
40	34		BY repealing and reenacting, with amendments, 15
41	35		Article – Tax – General 16
42	36		Section 13–508 and 13–509 17
43	37		Annotated Code of Maryland 18
44	38		(2022 Replacement Volume and 2024 Supplement) 19
45	39
46	40		SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20
47	41		That the Laws of Maryland read as follows: 21
48		-	2 HOUSE BILL 546
49	42
	43	+	Article – Tax – General 22
50	44
51		-	~~Article – Tax – General 1~~
	45	+	13–402. 23
52	46
53		-	13–402. 2
54		-
55		-	(a) If a notice and demand for a return is made under § 13–303 of this title and 3
56		-	the person or governmental unit fails to file the return, the tax collector shall: 4
57		-
58		-	(6) for digital advertising gross revenues tax: 5
59		-
60		-	(i) estimate gross revenues from the best information in possession 6
61		-	of the tax collector; and 7
62		-
63		-	(ii) assess the tax due on the estimated assessable base. 8
64		-
65		-	13–508. 9
66		-
67		-	(a) Within 30 days after the date on which a notice of assessment of the 10
68		-	admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, DIGITAL 11
69		-	ADVERTISING GROSS RE VENUES TAX, income tax, motor carrier tax, motor fuel tax, 12
70		-	public service company franchise tax, financial institution franchise tax, sales and use tax, 13
71		-	or tobacco tax is mailed, a person or governmental unit against which the assessment is 14
72		-	made may submit to the tax collector: 15
73		-
74		-	(1) an application for revision of the assessment; or 16
75		-
76		-	(2) except for the public service company franchise tax, if the assessment 17
77		-	is paid, a claim for refund. 18
78		-
79		-	(b) If a person or governmental unit fails to submit an application for revision or 19
80		-	claim for refund within the time allowed in subsection (a) of this section, the assessment 20
81		-	becomes final. 21
82		-
83		-	(c) The Comptroller or an employee of the Comptroller’s office expressly 22
84		-	designated by the Comptroller promptly: 23
85		-
86		-	(1) (i) shall hold an informal hearing on a person’s or governmental 24
87		-	unit’s admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, 25
88		-	DIGITAL ADVERTISING GROSS REVENUES TAX , income tax, motor carrier tax, motor fuel 26
89		-	tax, sales and use tax, or tobacco tax application for revision or claim for refund under 27
90		-	subsection (a) of this section; and 28
91		-
92		-	(ii) after the hearing: 29
93		-
94		-	1. shall act on the application for revision; and 30
95		-
96		-	2. may assess any additional tax, penalty, and interest due; 31
97		-	and 32 HOUSE BILL 546 3
	47	+	(a) If a notice and demand for a return is made under § 13–303 of this title and 24
	48	+	the person or governmental unit fails to file the return, the tax collector shall: 25 2 HOUSE BILL 546
98	49
99	50
100	51
101		-	(2) shall mail to the person or governmental unit a notice of final 1
102		-	determination. 2
	52	+	(6) for digital advertising gross revenues tax: 1
103	53
104		-	(d) The Department promptly: 3
	54	+	(i) estimate gross revenues from the best information in possession 2
	55	+	of the tax collector; and 3
105	56
106		-	(1) (i) shall act on a person’s public service company franchise tax or 4
107		-	financial institution franchise tax application for revision under subsection (a) of this 5
108		-	section; or 6
	57	+	(ii) assess the tax due on the estimated assessable base. 4
109	58
110		-	(ii) 1. shall hold an informal hearing after giving reasonable 7
111		-	notice to the person; and 8
	59	+	13–508. 5
112	60
113		-	2. after the hearing: 9
	61	+	(a) Within 30 days after the date on which a notice of assessment of the 6
	62	+	admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, DIGITAL 7
	63	+	ADVERTISING GROSS RE VENUES TAX, income tax, motor carrier tax, motor fuel tax, 8
	64	+	public service company franchise tax, financial institution franchise tax, sales and use tax, 9
	65	+	or tobacco tax is mailed, a person or governmental unit against which the assessment is 10
	66	+	made may submit to the tax collector: 11
114	67
115		-	~~A. shall act on the~~ application for revision; ~~and 10~~
	68	+	(1) an application for revision of the assessment; or 12
116	69
117		-	~~B. may assess any additional~~ tax, ~~penalty, and interest due;~~ 11
118		-	~~and 12~~
	70	+	(2) except for the public service company franchise tax, if the assessment 13
	71	+	is paid, a claim for refund. 14
119	72
120		-	(2) shall mail to the person a notice of final determination. 13
	73	+	(b) If a person or governmental unit fails to submit an application for revision or 15
	74	+	claim for refund within the time allowed in subsection (a) of this section, the assessment 16
	75	+	becomes final. 17
121	76
122		-	13–509. 14
	77	+	(c) The Comptroller or an employee of the Comptroller’s office expressly 18
	78	+	designated by the Comptroller promptly: 19
123	79
124		-	(a) Notwithstanding a person’s failure to file a timely application for revision or 15
125		-	claim for refund of an assessment of the admissions and amusement tax, alcoholic beverage 16
126		-	tax, boxing and wrestling tax, DIGITAL ADVERTISING GROSS REVENUES TAX , income 17
127		-	tax, motor carrier tax, motor fuel tax, sales and use tax, or tobacco tax under § 13–508(a) 18
128		-	of this subtitle, the Comptroller or the Comptroller’s designee may issue an order 19
129		-	decreasing or abating an assessment to correct an erroneous assessment. 20
	80	+	(1) (i) shall hold an informal hearing on a person’s or governmental 20
	81	+	unit’s admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, 21
	82	+	DIGITAL ADVERTISING GROSS REVENUES TAX , income tax, motor carrier tax, motor fuel 22
	83	+	tax, sales and use tax, or tobacco tax application for revision or claim for refund under 23
	84	+	subsection (a) of this section; and 24
130	85
131		-	(b) If action is taken under subsection (a) of this section, the order shall state 21
132		-	clearly the reasons for decreasing or abating the assessment. 22
	86	+	(ii) after the hearing: 25
133	87
134		-	(c) Any order issued by the Comptroller under subsection (a) of this section shall 23
135		-	be final and not subject to appeal. 24
	88	+	1. shall act on the application for revision; and 26
136	89
137		-	~~(d) The Comptroller’s refusal to enter an order under subsection (a) of this section 25~~
138		-	~~shall be final~~ and ~~not subject to appeal. 26~~
	90	+	2. may assess any additional tax, penalty, and interest due; 27
	91	+	and 28
139	92
140		-	SECTION 2. AND BE IT FURTHER ENACT ED, That this Act shall take effect 27
141		-	January 1, 2026, and shall be applicable to assessments of the digital advertising gross 28
142		-	revenues tax made after December 31, 2025. 29
	93	+	(2) shall mail to the person or governmental unit a notice of final 29
	94	+	determination. 30
	95	+
	96	+	(d) The Department promptly: 31
	97	+	HOUSE BILL 546 3
	98	+
	99	+
	100	+	(1) (i) shall act on a person’s public service company franchise tax or 1
	101	+	financial institution franchise tax application for revision under subsection (a) of this 2
	102	+	section; or 3
	103	+
	104	+	(ii) 1. shall hold an informal hearing after giving reasonable 4
	105	+	notice to the person; and 5
	106	+
	107	+	2. after the hearing: 6
	108	+
	109	+	A. shall act on the application for revision; and 7
	110	+
	111	+	B. may assess any additional tax, penalty, and interest due; 8
	112	+	and 9
	113	+
	114	+	(2) shall mail to the person a notice of final determination. 10
	115	+
	116	+	13–509. 11
	117	+
	118	+	(a) Notwithstanding a person’s failure to file a timely application for revision or 12
	119	+	claim for refund of an assessment of the admissions and amusement tax, alcoholic beverage 13
	120	+	tax, boxing and wrestling tax, DIGITAL ADVERTISING GROSS REVENUES TAX , income 14
	121	+	tax, motor carrier tax, motor fuel tax, sales and use tax, or tobacco tax under § 13–508(a) 15
	122	+	of this subtitle, the Comptroller or the Comptroller’s designee may issue an order 16
	123	+	decreasing or abating an assessment to correct an erroneous assessment. 17
	124	+
	125	+	(b) If action is taken under subsection (a) of this section, the order shall state 18
	126	+	clearly the reasons for decreasing or abating the assessment. 19
	127	+
	128	+	(c) Any order issued by the Comptroller under subsection (a) of this section shall 20
	129	+	be final and not subject to appeal. 21
	130	+
	131	+	(d) The Comptroller’s refusal to enter an order under subsection (a) of this section 22
	132	+	shall be final and not subject to appeal. 23
	133	+
	134	+	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 24
	135	+	January 1, 2026, and shall be applicable to assessments of the digital advertising gross 25
	136	+	revenues tax made after December 31, 2025. 26
143	137