Md. Still Game for Digital Ad Tax Argument

Maryland said a federal court is “free to proceed” with Nov. 29 oral argument on the state’s ban on passing its digital ad tax’s costs to customers. U.S. District Court for Northern Maryland Judge Lydia Kay Griggsby asked Maryland last week to weigh in on whether the hearing should still happen given a state court decision to strike down the tax (see 2210240064). “The ruling issued by the Circuit Court for Anne Arundel County … does not affect the ability of this Court to adjudicate this case, because the circuit court’s ruling is subject to appeal, and the outcome of that case will not be known at least until the conclusion of the appeal,” Maryland wrote Monday. Since Comcast, plaintiff in the state case, didn’t “exhaust administrative remedies before filing suit, Maryland statutes and precedent pose a considerable obstacle to affirmance of the circuit court’s ruling,” the state added. Federal plaintiff U.S. Chamber of Commerce earlier said the state ruling doesn't moot the federal case.