1969]                               OF THE SENATE                                    29

Based on these Calendar Year estimates, following is an analysis of
Individual Income Taxes for the Fiscal Years 1968, 1969, 1970 and 1971.

	Fiscal Year 1968 Actual	Fiscal Year 1969 Actual (Preliminary Breakdown)	Fiscal Year 1970 Revised Estimates	Fiscal Year 1971 Estimates
		$ Thousands
Resident Individuals 1966 and Prior Returns
(Flat Rate) ............................ 1967 Returns	1,951	697
(Graduated Rates) ................ 1968 Returns	186,789	4,318
(Graduated Rates) ................ 1969 Returns	79,532	214,672	5,200
(Graduated Rates) ................ 1970 Returns		90,235	248,100	5,785
(Graduated Rates) ................ 1971 Returns			153,770#	235,315
(Graduated Rates) ................				176,835
Total................................ Fiduciaries .................................... Non-Residents ..............................	268,272 507 1,526	309,922 894 2,040	407,070 1,200 2,500	417,935 1,400 2,900
Grand Total....................	270,305	312,856	410,770	422,235

# Includes $50,000,000 from the additional two months withholding re-
ceipts acceleration (one year only.)

These estimates do not include Local Income Taxes collected for the
23 Counties and Baltimore City.

Corporation Income Taxes

There have been several recent revisions to the Corporate Tax struc-
ture. As of July 1, 1967, the Maryland Port Authority Tax was increased
from ¹/₂% to ³/₄%. As of January 1, 1968, the General Fund Tax was
increased from 4¹/₂% to 6¹/₄%. The total Corporate rate is therefore 7%.

As of July 1, 1968, Corporations are allowed credit against their total
tax for Personal Property Taxes paid.

For years beginning on and after January 1, 1971, Corporations will
be required, as previously mentioned in this report, to file annual declara-
tions where the expected tax will be over $1,000, and make a 50% payment
on such declaration by the first day of the sixth month of the taxable year.

These rapid changes in this tax structure make the estimating of these
revenues very difficult, particularly in view of the extreme volatility of
this tax yield even under ordinary circumstances.