Chamber of Progress Praises Connecticut Leaders for Excluding Damaging Digital Ad Tax
Jun 10, 2021

The Chamber of Progress, a new center-left tech industry coalition promoting technology’s progressive future, praised Connecticut Gov. Ned Lamont, House Speaker Matt Ritter, and Senate President Pro Tempore Martin Looney for excluding from the final budget a proposal to impose a discriminatory tax on digital advertising.  

The Connecticut legislature was considering a new tax on digital advertising revenue, ranging from 2.5% to 10% based on company size.  Near the end of the state legislative session completed on Wednesday, Gov. Lamont and legislative leaders agreed on a budget that did not include the proposed digital ad tax.

Chamber of Progress CEO Adam Kovacevich praised the final budget, saying, “A digital ad tax would have raised the cost of digital advertising not only for Connecticut small businesses but also for progressive causes and candidates. Online advertising has been a critical tool for Connecticut businesses to reach customers more efficiently during the pandemic — and it’s been an essential organizing tool for Democrats in the state. Governor Lamont, Speaker Ritter, and President Pro Temp Mooney recognized the negative impact this tax would have on Connecticut businesses and organizations.”

Maryland passed a similar digital advertising tax earlier this year, but the bill has drawn a lawsuit over its violation of the interstate commerce clause and federal online tax laws — and the Maryland state legislature recently amended the law to address unforeseen consequences of its passage. 

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The Chamber of Progress (progresschamber.org) is a new center-left tech industry policy coalition promoting technology’s progressive future.  We work to ensure that all Americans benefit from technological leaps, and that the tech industry operates responsibly and fairly.  

Our corporate partners do not have a vote on or veto over our positions. We do not speak for individual partner companies and remain true to our stated principles even when our partners disagree.