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you have in mind is the fact the board of
public works in the past has set the tax
rate. It has done this in this way. The
General Assembly itself, when it authorizes
a bond issue imposes a tax. Each of the
bond bills which are enacted, usually in
the last clause, say a tax is hereby im-
posed in rates and amounts sufficient to
pay the indebtedness hereby authorized
and the interest thereon until maturity —
so that the legislature is imposing the tax,
and delegating the power to the board to
set the rate. This would not be changed
under this.
TPIE CHAIRMAN: Delegate Maurer.
DELEGATE MAURER: If there is a
distinction between imposing a tax and
setting the rate, could it then be that say,
county commissioners would impose a local
property tax but authorize or delegate to
an appointed school board the power to set
a portion of that tax rate?
THE CHAIRMAN: Delegate Case.
DELEGATE CASE: This particular
provision does not change in any way as
I read it the law we have today on this
point. It keeps it just where it is.
TPIE CHAIRMAN: Delegate Clagett.
DELEGATE CLAGETT: Delegate Case,
with reference to section 8.02 and 8.02-2,
where you deal with classification, what do
you mean by classification by events or
classification of events?
THE CHAIRMAN: Delegate Case.
DELEGATE CASE: Delegate Clagett,
there are three generic incidents of taxa-
tion. One is property. That is to say the
real or personal property or chose in action
or any other kind of property both tangible
or intangible, that you care to mention.
This can be taxed, it can be levied upon.
There is the common case.
The second generic instance is the tax-
payer. Here you could deal with the poll
tax, for example, which of course is not
allowed as a prerequisite to voting, but we
have seen direct capitation taxes in other
states, never in Maryland, to my knowl-
edge, but the taxpayers are an integral
part of the trilogy.
The third part and perhaps the most im-
portant part is the events. This is the
interaction between the taxpayer and the
property. That is to say, the receipt of
money, the earning of income, transmission
of property by death, and so forth. This is
an event, and called a taxable event. This
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is what it means, so that it covers the
entire spectrum of human activity vis-a-vis
his property and his environment, which
conceivably could be subject to taxation.
THE CHAIRMAN: Delegate Clagett.
DELEGATE CLAGETT: In other
words, it is the relationship between the
taxpayer and his property which would be
determinative of the tax?
THE CHAIRMAN: Delegate Case.
DELEGATE CASE: It could be but it
would not necessarily have to be.
THE CHAIRMAN: Delegate Clagett.
DELEGATE CASE: Let me give you an
example of "event." A man dies and leaves
you a million dollars. I hope this happens.
The act of transmitting the property from
the dead to the living is an event. In Mary-
land we have right now what is known as
an inheritance tax, which you know. The
inheritance tax is based upon your receiv-
ing that property.
The instance of taxation, the event is
the receipt by you of the million dollars
from the decedent. On the other hand, the
federal government imposes an estate tax.
This is a tax on the estate vel non, not a
tax on the act of transmission, but on the
tax of the estate as it was found on the
date of the decedent's death, or one year
thereafter.
It would be a tax on the property; both
would be death taxes, but one would tax
the property, the other would tax the
event.
THE CHAIRMAN: Delegate Clagett.
DELEGATE CLAGETT: In what way
would this be determinative in the determi-
nation by the General Assembly of the
bona fide use of farm land?
THE CHAIRMAN: Delegate Case.
DELEGATE CASE: I am not sure I
understand that, Delegate Clagett.
DELEGATE CLAGETT: As I under-
stand 8.02, the agricultural use —
THE CHAIRMAN: Could the Chair cut
across this?
DELEGATE CLAGETT: Yes.
THE CHAIRMAN: I think Delegate
Case, what he is asking is in what way
would you relate agricultural use and ex-
emption for agricultural use to the trilogy
you just mentioned?
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