BLAIR LEE III, Acting Governor

1577

Section 326(i)

Annotated Code of Maryland

(1975 Replacement Volume and 1977 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 81 - Revenue and Taxes

326.

The tax hereby levied shall not apply to the following
sales:

(i) (1) Sales to OR SALES BY any [person----operating

a] A nonprofit religious, charitable, or educational

institution or organization [ or a volunteer fire company

or department or volunteer ambulance company or rescue

squad ], WHICH IS situated in this State [ when such ] ,

OF tangible personal property WHICH is purchased OR SOLD for

use in carrying on the work of [such] THE institution or

organization [; provided that the word "person," as used in

this subsection TERM "INSTITUTION" OR ORGANIZATION" shall not

include the United States of America or any agency or

instrumentality thereof ]. THESE INSTITUTIONS OR

ORGANIZATIONS MAY QUALIFY FOR EXEMPTION UNDER THIS

SUBSECTION BY APPLYING TO THE COMPTROLLER FOR A CERTIFICATE

OF EXEMPTION. THE COMPTROLLER MAY-TREAT A DETERMINATION OF

QUALIFICATION UNDER SECTION 501(C)(3) OF THE INTERNAL

SUBSECTION.

(2) SALES TO ANY PERSON OPERATING A VOLUNTEER

FIRE COMPANY OR DEPARTMENT, A VOLUNTEER AMBULANCE COMPANY,
OR A RESCUE SQUAD, WHICH IS LOCATED IN THE STATE, OF

TANGIBLE PERSONAL PROPERTY WHICH IS PURCHASED FOR USE IN
CARRYING ON THE WORK OF THE COMPANY, DEPARTMENT, OR SQUAD.

          (3) THE PROVISIONS OF THIS EXEMPTION ARE NOT

APPLICABLE TO THE UNITED STATES OR ANY OF ITS AGENCIES OR

INSTRUMENTALITIES. AN INSTITUTION OR ORGANIZATION SEEKING TO

QUALIFY FOR EXEMPTION UNDER THE TERMS OF THIS SUBSECTION

SHALL APPLY TO THE COMPTROLLER FOR A CERTIFICATE OF

EXEMPTION. A VENDOR MAY NOT RECOGNIZE THE EXEMPTION CREATED

BY THIS SUBSECTION UNLESS THE PURCHASER POSSESSES A VALID

CERTIFICATE OF EXEMPTION ISSUED BY THE COMPTROLLER. THE

COMPTROLLER MAY TREAT POSSESSION OF AN EFFECTIVE

DETERMINATION LETTER FROM THE INTERNAL REVENUE SERVICE AS TO

QUALIFICATION UNDER §501(C)(3) OF THE INTERNAL REVENUE CODE
OF 1954 AS EVIDENCE THAT AN INSTITUTION OR ORGANIZATION IS A
NONPROFIT RELIGIOUS, CHARITABLE, OR EDUCATIONAL INSTITUTION

OR ORGANIZATION WITHIN THE MEANING OF THIS SUBSECTION.

(i) Sales to [any person operating] a nonprofit
religious, charitable, or educational institution or