EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0605*
SENATE BILL 605
Q7 5lr2395
HB 1067/24 – W&M CF HB 546
By: Senator Zucker
Introduced and read first time: January 23, 2025
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Digital Advertising Gross Revenues Tax – Assessments – Appeals and 2
Corrections 3
FOR the purpose of establishing a certain appeal process for persons who are subject to the 4
digital advertising gross revenues tax and receive a notice of assessment from the 5
Comptroller; authorizing the Comptroller or the Comptroller’s designee to issue an 6
order to correct an erroneous assessment of the digital advertising gross revenues 7
tax, subject to certain conditions; and generally relating to the digital advertising 8
gross revenues tax. 9
BY repealing and reenacting, without amendments, 10
Article – Tax – General 11
Section 13–402(a)(6) 12
Annotated Code of Maryland 13
(2022 Replacement Volume and 2024 Supplement) 14
BY repealing and reenacting, with amendments, 15
Article – Tax – General 16
Section 13–508 and 13–509 17
Annotated Code of Maryland 18
(2022 Replacement Volume and 2024 Supplement) 19
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20
That the Laws of Maryland read as follows: 21
Article – Tax – General 22
13–402. 23
(a) If a notice and demand for a return is made under § 13–303 of this title and 24
the person or governmental unit fails to file the return, the tax collector shall: 25 2 SENATE BILL 605
(6) for digital advertising gross revenues tax: 1
(i) estimate gross revenues from the best information in possession 2
of the tax collector; and 3
(ii) assess the tax due on the estimated assessable base. 4
13–508. 5
(a) Within 30 days after the date on which a notice of assessment of the 6
admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, DIGITAL 7
ADVERTISING GROSS RE VENUES TAX, income tax, motor carrier tax, motor fuel tax, 8
public service company franchise tax, financial institution franchise tax, sales and use tax, 9
or tobacco tax is mailed, a person or governmental unit against which the assessment is 10
made may submit to the tax collector: 11
(1) an application for revision of the assessment; or 12
(2) except for the public service company franchise tax, if the assessment 13
is paid, a claim for refund. 14
(b) If a person or governmental unit fails to submit an application for revision or 15
claim for refund within the time allowed in subsection (a) of this section, the assessment 16
becomes final. 17
(c) The Comptroller or an employee of the Comptroller’s office expressly 18
designated by the Comptroller promptly: 19
(1) (i) shall hold an informal hearing on a person’s or governmental 20
unit’s admissions and amusement tax, alcoholic beverage tax, boxing and wrestling tax, 21
DIGITAL ADVERTISING GROSS REVENUES TAX , income tax, motor carrier tax, motor fuel 22
tax, sales and use tax, or tobacco tax application for revision or claim for refund under 23
subsection (a) of this section; and 24
(ii) after the hearing: 25
1. shall act on the application for revision; and 26
2. may assess any additional tax, penalty, and interest due; 27
and 28
(2) shall mail to the person or governmental unit a notice of final 29
determination. 30
(d) The Department promptly: 31
SENATE BILL 605 3
(1) (i) shall act on a person’s public service company franchise tax or 1
financial institution franchise tax application for revision under subsection (a) of this 2
section; or 3
(ii) 1. shall hold an informal hearing after giving reasonable 4
notice to the person; and 5
2. after the hearing: 6
A. shall act on the application for revision; and 7
B. may assess any additional tax, penalty, and interest due; 8
and 9
(2) shall mail to the person a notice of final determination. 10
13–509. 11
(a) Notwithstanding a person’s failure to file a timely application for revision or 12
claim for refund of an assessment of the admissions and amusement tax, alcoholic beverage 13
tax, boxing and wrestling tax, DIGITAL ADVERTISING GROSS REVENUES TAX , income 14
tax, motor carrier tax, motor fuel tax, sales and use tax, or tobacco tax under § 13–508(a) 15
of this subtitle, the Comptroller or the Comptroller’s designee may issue an order 16
decreasing or abating an assessment to correct an erroneous assessment. 17
(b) If action is taken under subsection (a) of this section, the order shall state 18
clearly the reasons for decreasing or abating the assessment. 19
(c) Any order issued by the Comptroller under subsection (a) of this section shall 20
be final and not subject to appeal. 21
(d) The Comptroller’s refusal to enter an order under subsection (a) of this section 22
shall be final and not subject to appeal. 23
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 24
January 1, 2026, and shall be applicable to assessments of the digital advertising gross 25
revenues tax made after December 31, 2025. 26