1046

LAWS OF MARYLAND

Ch. 400

(1)          A WARNING IS AFFIXED IN A PROMINENT
PLACE ON THE LADDER WHICH [[STATES]] INDICATES THAT THE
LADDER IS A CONDUCTOR OF ELECTRICITY; OR

(2)          THE LADDER IS MADE IN A MANNER TO
PREVENT THE CONDUCTION OF AN ELECTRICAL CURRENT.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act
shall take effect [[July 1, 1976]] [[January 1, 1977]]
July 1, 1976.

Approved May 4, 1976.

CHAPTER 401

(House Bill 630)

AN ACT concerning

Retail Sales Tax — Exemption

FOR the purpose of exempting certain capital transactions
from the retail sales tax act.

BY adding to

Article 81 - Revenue and Taxes

Section 326A

Annotated Code of Maryland

(1975 Replacement Volume and 1975 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Section 326A be and it is hereby added
to Article 81 — Revenue and Taxes, of the Annotated Code
of Maryland (1975 Replacement Volume and 1975 Supplement)
to read as follows:

Article 81 — Revenue and Taxes

326A.

THE TAX LEVIED BY THIS SUBTITLE DOES NOT APPLY TO
THE FOLLOWING CAPITAL TRANSACTIONS:

[[(A)]] (1) TRANSFERS OF TANGIBLE PERSONAL PROPERTY
TO A CORPORATION [[ON]] UPON ITS ORGANIZATION PRINCIPALLY
IN CONSIDERATION FOR THE ISSUANCE OF ITS STOCK;

[[(B)]] (2) TRANSFERS OF TANGIBLE PERSONAL PROPERTY
MADE PURSUANT TO A REORGANIZATION WITHIN THE MEANING OF
SECTION 368(A) OR IN ACCORDANCE WITH SECTIONS 371 OR 374
OF THE INTERNAL REVENUE CODE OF 1954;