THEODORE R. McKELDIN, GOVERNOR                    445

(a)  for the quarterly period beginning July 1, 1955, and for each
quarterly period thereafter, every employer shall deduct, withhold
and pay over to the Comptroller of the Treasury, for each indi-
vidual in his employ or whose services he utilizes, a tax as provided
in this section.

(b)   The provisions of this section shall not apply to any pay-
ments of salary, wages or compensation for personal services of any
kind for the employer for the following:

1.   for active service as a member of the Armed forces of the
United States.

2.   for agricultural labor (as defined in the Federal Internal
Revenue Code from time to time).

S. for domestic service in a private home, local college club or
local chapter of a college fraternity or sorority.

(c)   The employer shall withhold the tax on the basis of each pay-
roll period, whether weekly, by-weekly, semi-monthly, or monthly;
and if there is no specified regular payroll period on one of these
bases, the tax shall be withheld on a per diem basis.

(d)   The amount of tax to be withheld for each individual shall
be based upon tables to be prepared and distributed by the Comp-
troller. The tables shall be computed for the several permissible
withholding periods and shall take account of exemptions allowed
under this sub-title; and the amounts computed for withholding
shall be such that the amount withheld for any individual during
his taxable year shall approximate in the aggregate as closely as
possible the tax which is levied and imposed under this sub-title
for that taxable year, upon his salary, wages or compensation for
personal services of any kind for the employer.

(e)  The Comptroller may also provide for a percentage method
of withholding to be used in lieu of the tables at the election of the
employer. The Comptroller may also prepare tables or a percentage
method for non-resident taxpayers different from the tables or per-
centage method applicable to resident taxpayers, to permit non-resi-
dent taxpayers to exhaust their personal exemptions and credit for
dependents before the withholding of any tax.

(f)  Every individual upon whose salary, wages or compensation
such a tax is to be imposed shall file with his employer at the time
of his employment (or during the month of June, 1955, if then
employed) a signed exemption certificate on a form to be provided
by the Comptroller of the Treasury for that purpose, indicating the
number of exemptions to which he is entitled under the provisions
of this sub-title.

(g)   The taxes so withheld and paid by the employer to the Comp-
troller shall constitute payments on account of the income tax which
is levied and imposed elsewhere in this sub-title, and shall be
allowed as a credit against the total tax due on the individual's
income tax return for that taxable year. Any amount withheld
which is in excess of the total amount of tax, interest and penalties
due from that individual under the provisions of this sub-title, shall
be refunded to the individual in the manner provided in this Article.
Any amount of tax due, in excess of that withheld and/or remitted