By Bob Katzen

This bill would impose a 6.25 percent sales tax on digital advertising services that target users in Massachusetts, using tools like IP address or geolocation. The tax would only apply to companies that make more than $2.5 million a year from digital ads aimed at Bay State residents.

The funds would be used to support three key areas: local access TV stations; mental health and safe social media use; and research on artificial intelligence in education.

“Digital advertising brings in billions of dollars from Massachusetts each year, yet not a single cent is going back to the communities being targeted,” said sponsor Rep. Francisco Paulino (D-Methuen). “Local media outlets, especially community stations, are struggling to survive while Big Tech keeps growing. This bill is about fairness. If you’re profiting from our residents, you should help fund the programs that serve them.”