570                              Laws of Maryland                       [Ch. 422

on the said bonds or Certificates of Indebtedness in the preceding
year, after making allowance for collections in such year from the
proceeds of the tax imposed under provisions of said Section 288 (f)
and from any previous levy of the tax provided for in this Sub-section
(h) and after making allowance for payments into the Annuity
Bond Fund by the Maryland Port Authority required by Sub-section
(g) hereof, and to meet all payments of principal and interest
due on said bonds or Certificates of Indebtedness in the current year
after making allowance for estimated collections in the current year
from the proceeds of the tax imposed by said Section 288 (f), and
after making allowance for payments into the Annuity Bond Fund
by the Maryland Port Authority required by Sub-section (g) hereof.

Any taxes collected to pay the principal of or interest on said
bonds or Certificates of Indebtedness, as hereinabove in this Sub-
section (h) provided, shall be paid over by the State Comptroller,
on or before the 15th day of January of the year following the year
in which such taxes are collected, to the State Treasurer, to be
credited to the Annuity Bond Fund, for the payment of principal
of and interest on such bonds or Certificates of Indebtedness.

(i) Until all of the bonds or Certificates of Indebtedness issued
under the provisions of this section, and the interest thereon, shall
be paid or provision for such payment shall be made, the proceeds
of so much of the tax on the net income of certain corporations as
imposed by Section 288 (f) of Article 81 of the Annotated Code of
Maryland (1957 Edition, as amended) received in each year as is
required to make the principal and interest payments due in that
year (to the extent not previously set aside) and in the next succeeding
year shall be set aside by the State Treasurer in the Annuity Bond
Fund for the purpose of making such principal and interest payments/
subject to the prior use and application of the proceeds of said tax
under the provisions of Section 8 of this Article. The balance of the
proceeds of such tax, if any, shall be deposited to the credit of the
Maryland Port Authority Fund, created by said Section 288 (f).

(j) All matters committed by this section to the discretion of the
Board of Public Works shall be determined by a majority of said
Board.

Sec. 2. And be it further enacted, That Section 288 (f) of Article
81 of the Annotated Code of Maryland (1957 Edition, as amended),
title "Revenue and Taxes", sub-title "Income Tax", be and it is
hereby repealed and re-enacted, with amendments, to read as follows:

288.

(f) In addition to the tax imposed elsewhere in this sub-title
upon the net income of every corporation (domestic or foreign),
there is hereby annually levied and imposed, beginning as of July 1,
1956, a tax on the net income of every corporation (domestic or for-
eign) at the rate of one-half of one percent (½%) of such portion
thereof as is allocable to this State under the provisions of Section
316 hereof, except as herein specifically provided otherwise, the tax
imposed by this sub-section shall in all respects be imposed and col-
lected and subject to the same laws, regulations and provisions as
those imposed elsewhere in this Article upon the net income of such
corporations. If the taxpayer is on a calendar year basis, the increase
in rate over that formerly levied and imposed shall be paid upon net