J. MILLARD TAWES, Governor                           11

($100,000.). The computation shall be made in particular cases
either on a calendar year or on a fiscal year basis, whichever the
bank or association is using for its regular accounting period. The
computation shall be based upon all operations and branches of the
bank or association and upon the annual net earnings of the bank
or association as an entirety. The computation shall be made before
the calculation or allowance of any dividends or interest paid or
credited on savings accounts and investment certificates or other
apportionment of profits; and the computation shall be made before
allowing for any reserves other than reserves for bad debts and
allowances for depreciation deductible pursuant to Section 281 of
Article 81 as amended from time to time; provided, however, that
with respect to foreign savings banks and associations admitted to
do business in the State of Maryland the computation shall be based
on that part of the yearly net earnings of the savings bank or associ-

ation as an entirety which bears the same ratio to the total annual

net earnings of the savings bank or association as an entirety as the

total of all loans made by the savings bank or association on the

security of property located in Maryland bears to the total of all
loans made by the savings bank or association as an entirety, both
as shown by the books of the savings bank or association on the last
day of the accounting year of the savings bank or association. Pro-

tion a savings bank or association chartered in this State or admitted

to do business in this State and doing business in such other juris-

diction is required to pay a franchise tax to said foreign jurisdiction
based upon its savings accounts or free shares purchased in the State
of Maryland, or is required to pay to said foreign jurisdiction a tax
on its gross receipts including its gross receipts from business done
in the State of Maryland, or is required to pay to said foreign juris-

diction a tax on its income including income derived from business
done in the State of Maryland, then the tax imposed by this section

shall be reduced to the extent of any such franchise tax or gross

receipts tax or income tax so paid to said foreign jurisdiction based

on savings accounts or free shares purchased in the State of Mary-

land, or on business done in the State of Maryland.

(d) [Within sixty days] On or before the 15th day of the fourth
month after the end of its calendar or fiscal year, as the case may be,
the bank or association, acting through its president, treasurer, or
other proper officer, shall report under oath to the Comptroller of the
Treasury its net earnings for that next previous taxable period, and
at the same time the bank or association shall pay to the Comptroller
of the Treasury the proper amount of tax for that period as com-
puted under this subtitle.

Sec. 2. And be it further enacted, That this Act shall apply to
taxpayers reporting on a calendar year beginning on January 1,1966,
and shall apply to that part of the fiscal year falling in 1966 of tax-
payers reporting on a fiscal year ending January 1, 1966, and to all
subsequent years thereafter; provided, however, that taxpayers filing
returns for a period of less than twelve months shall prorate accord-
ingly the $100,000 exemption provided in Section 128 (c) of Article
81 (1965 Replacement Volume).

Sec. 3. And be it further enacted, That this Act is hereby
declared to be an emergency measure and necessary for the imme-