Stations Warned About Cash-Hungry States

By Andrew Gauthier 

Broadcasting & Cable

At their legislative/regulatory meet-and-greet in Washington recently, broadcasters met with ad industry lobbyists to get some insight on potential local government threats to an already dwindling advertising base.

What they discovered wasn’t pretty. After an election year where there will likely be little political will to take on tax reform, 2011 could see the return of the dreaded sales tax on services, including advertising.

Clark Rector, executive VP at the American Advertising Federation, recalled the time in the mid-1980s when Florida imposed a sales tax on ad services. More…