An Act establishing a sales tax on digital advertising services

This bill imposes a 6.25% sales tax on digital advertising services targeting users in Massachusetts, collected by vendors at the time of sale. It directly affects digital advertisers (vendors) selling to Massachusetts-based audiences, with small vendors earning under $2.5 million annually in such sales exempt. Revenue funds three equal programs: local community TV access (via Dept. of Telecommunications), public health campaigns on safe social media use (via DPH), and AI tools for education (via DESE), after covering 5% in administrative costs. The tax takes effect January 1, 2027, with grants beginning in 2028.