42 LAWS OF MARYLAND. [CH. 11

a husband and wife living together shall receive but one per-
sonal exemption, the amount of such personal exemption shall
be twenty-five hundred dollars ($2, 500. 00). If such husband
and wife make separate returns the personal exemption may
be taken by either or divided between them. (2) Four hun-
dred dollars (1400. 00) for each person (other than husband or
wife) dependent upon and receiving his chief support from
the taxpayer if such dependent person is under eighteen years
of age or is incapable of self-support because mentally or
physically defective.

(3) If the status of the taxpayer, in so far as it affects
personal exemption or credit for dependents, changes during
the taxable year, the personal exemption and credit shall be
determined by his status during the greater portion of the
year for which the return is being made.

228. IMPOSITION OF TAX. (1) A tax is hereby annually levied
for each taxable year upon every resident individual of this
State upon Ms entire net income as herein defined for pur-
poses of taxation (subject to exemptions as herein provided
for) at the rate of one-half of one per cent (. 5%).

(2) A like tax is hereby annually levied for each taxable
year at the rate of one-hall of one per cent (. 5%) upon and
with respect to the entire net income (except as herein pro-
vided) from all tangible property, real or personal, and such
intangible property as has acquired a business situs in this
State owned by natural persons not residents of this State, and
from business, trade, profession, or occupation carried on in
this State by such persons. But a non-resident individual re-
ceiving income from labor performed, business done, or tangi-
ble property, real or personal, and from such intangible prop-
erty as has acquired a business situs in this State, and income
from labor performed, business done or property located out-
side of this State, shall be taxable only upon the amount of
income received by such taxpayer from labor performed, busi-
ness done or tangible property, real or personal, and from
such intangible property as has acquired a business situs
located within this State. The remainder of the income re-
ceived by him shall be deemed non-taxable by this State in the
case of non-residents and residents who receive credit on ac-
count of income taxes paid in other States; the personal
exemptions allowable under this sub-title shall be that pro-
portion of those permitted under Section 227 which is repre-
sented by the ratio of the taxpayers net income in Maryland
to his total net income from all sources..

In the case of non-resident who derives income taxable
under this sub-title from sources in this State, the Comp-