2234                                      LAWS OF MARYLAND                             Ch. 814

than this State and its political subdivisions and
authorities); (2) salaries and wages and interest or
dividends on obligations of any authority, commission,
instrumentality, territory or possession of the United
States or of any foreign government, which by the laws or
treaties of the United States are exempt from federal
income tax but not from State income taxes; (3) dividends
received by individuals excluded from federal adjusted
gross income pursuant to Section 116 of the Internal
Revenue Code; (4) distributions of corporate prior years'
earnings not previously taxed in Maryland to individuals
and current year losses of corporations claimed for the
taxable year by individuals, resulting from an election
of a small business corporation, as defined by Section
1371 of the Internal Revenue Code as amended from time to
time, to be taxed in accordance with the provisions of
subchapter "S" of the Internal Revenue Code; [and] (5)
for all taxable years beginning after December 31, 1974,
50 percent of the sum of the items of tax preference as
determined under the provisions of Section 280B of this
subtitle; AND (6) FOR ALL TAXABLE YEARS BEGINNING AFTER
DECEMBER 31, 1975, THE OIL PERCENTAGE DEPLETION ALLOWANCE
AS CLAIMED AND ALLOWED UNDER SECTION 613 OF THE INTERNAL
REVENUE CODE, AS AMENDED FROM TIME TO TIME.

280B.

(a) For purposes of this subtitle, items of tax
preference are [those items of tax preference as]
determined and defined in Sections 57 and 58 of the
Internal Revenue Code, as amended from time to time,
EXCLUDING THE OIL PERCENTAGE DEPLETION ALLOWANCE AS
CLAIMED AND ALLOWED UNDER SECTION 613 OF THE INTERNAL
REVENUE CODE, AS AMENDED FROM TIME TO TIME, the sum total
of which is in excess of [: (1) ] $30,000 as specified and
apportioned under the provisions of Sections 57 and 58,
respectively, of the Internal Revenue Code, as amended
from time to time.

SECTION 2. AND BE IT FURTHER ENACTED, That the
provisions of this Act are applicable to all taxable
years of individual taxpayers beginning after December
31, 1975.

SECTION 3. AND BE IT FURTHER ENACTED, That this Act
shall take effect July 1, 1976.

Approved May 17, 1976.

CHAPTER 815