10                               LAWS OF MARYLAND                          [CH. 7

levy for State and county taxes on the [first Tuesday in April] second-
Tuesday in May in each and every year.

Sec. 2. And be it further enacted, That this Act is hereby de-
clared to be an emergency measure and necessary for the immediate
preservation of the public health and safety and having been passed
by a yea and nay vote supported by three-fifths of all the members
elected to each of the two houses of the General Assembly, the same
shall take effect from the date of its passage.

Approved March 1, 1966.

CHAPTER 7
(Senate Bill 50)

AN ACT to repeal and re-enact, with amendments, subsections (b),
(c), and (d) of Section 128 of Article 81 of the Annotated Code of
Maryland (1965 Replacement Volume), title "Revenue and Taxes",
subtitle "Franchise Tax on Net Earnings of Savings Banks and
Building, Saving and Loan Associations", to provide that tax-
payers shall not be entitled to exclude from gross income any
amounts which might otherwise be excluded by Section 280 (1), (1)
of Article 81; to allow taxpayers reserves for bad debts and allow-
ances for depreciation deductible pursuant to Section 281 of said
Article; and to provide a later date for filing returns and paying
the tax.

Section 1. Be it enacted by the General Assembly of Maryland,
That subsections (b), (c), and (d) of Section 128 of Article 81 of
the Annotated Code of Maryland (1965 Replacement Volume), title
"Revenue and Taxes", subtitle "Franchise Tax on Net Earnings of
Savings Banks and Building, Saving and Loan Associations", be
and they are hereby repealed and re-enacted, with amendments, to
read as follows:

128.

(b) For the purposes of this subtitle, (1) a savings bank is an
institution or corporation organized for receiving deposits of money
and paying interest thereon, other than banks having a capital stock;
(2) a building, saving and loan association is an association as defined
in Section 161B of Article 23 of this Code (1965 Replacement Vol-
ume), as amended from time to time; (3) net earnings is an amount
equal to the net income of a taxpayer as if computed for the par-
ticular savings bank or building, saving and loan association under
the provisions of the subtitle "Income Tax" in Article 81 of this
Code (1957 Edition), as amended from time to time [.]; provided,
however, that in computing net income, the taxpayer shall not be
entitled to exclude from his gross income any amounts which might
otherwise be excluded by Section 280 (1) (1) of Article 81 as
amended from time to time.

(c) The tax imposed shall be computed at the rate of three
quarters of one per centum (¾ of 1%) of that portion of the annual
net earnings of the savings bank or of the building, saving and loan
association, which exceeds the sum of one hundred thousand dollars