Montgomery County                            2887

ceding transfer as farmland at a rate of six percent of the value
of the consideration for the transfer, effective July 1, 1971.

Be It Enacted by the County Council for Montgomery County,
Maryland, that—

Sec. 1. Subsection (d) of Section 84-25, title "Levied; amount,"
Chapter 84, title "Finance and Taxation," of the Montgomery
County Code 1965, is hereby repealed and re-enacted, with amend-
ments, to read as follows:

84-25. Levied; amount.

(d) Six percent of the value of the consideration for any
transfer of land, excluding improvements thereon, which, while
owned by the transferor, has been assessed at any time during the
five years preceding transfer on the basis of being actively devoted to
farm or agricultural use or which while owned by the transferor has
been valued and assessed on the assessment records on the basis of the
agricultural use value assessment at any time during the five years
preceding transfer, said tax to be paid by the transferor of such land.
The tax levied in this subsection (d) at a rate of six percent shall not
apply to transfers which are made pursuant to a bona fide written
contract or agreement entered into prior to July 1, 1971, provided
that for transfers made after July 1, 1971, and before July 1, 1972,
pursuant to a bona fide written contract or agreement entered into
after August 19, 1970, and prior to July 1, 1971, shall be subject to the
tax imposed prior to this amendment being at the rate of two percent
of the value of the consideration. The Director of Finance may require
satisfactory proof that the contract or agreement was entered into
prior to such date. Any tax collected under this subsection (d),
which is based on the bona fide market value consideration of the
property, shall be collected only once on the transfer of the same
parcel of land, or any portion thereof; provided however, all subse-
quent transfers shall be taxable at the rates applicable under subsec-
tions (a), (b), and (c) of Section 84-25. Provided, however, that the
rate of such tax on a single transfer shall not exceed six percent of the
bona fide market value consideration for the transfer. Where a
transfer is subject both to the tax imposed by this subsection (d) and
the tax imposed by subsection (e) below, the tax imposed by subsec-
tion (e) shall be the only tax imposed on the transfer. The transferor
shall receive a tax credit on any tax collected under this subsection
(d) equal to the deferred tax paid upon the sale of lands or a portion
thereof, actively devoted to farm or agricultural use, pursuant to
Section 19(b)(2), Article 81, Annotated Code of Maryland. In no
event shall the tax credit exceed the tax collected under this subsec-
tion. The Director of Finance may from time to time issue written
regulations pertaining to the collection of the tax levied in this
subsection.