Maryland issues updated guidance on sales of digital products and digital code

The Maryland Comptroller’s Office has issued updated guidance on the sales and use taxation of digital products and digital code. The guidance conforms to recently enacted legislation that amended the definition of “digital product” to exclude certain products where the purchaser has a certain property interest and certain types of computer software. The update includes revisions and additional examples on the following topics: advertising; agricultural exemption; cloud storage services and data transfer fees; production activity; sale of digital advertising space; search engine optimization (SEO) services; video conferencing software platforms; website design and development; and web hosting services. (Maryland Tax Tips No. 29, 07/01/2022 (released August 2022).)