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LAWS OF MARYLAND

Ch. 426

(1975 Replacement Volume and 1978 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be repealed, amended, or enacted to read as follows: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

324.

As used in this subtitle, the following terms shall
mean or include:

(f) "Retail sale" and "sale at retail" means the sale
in any quantity or quantities of any tangible personal

property or service taxable under the terms of this

subtitle. The term shall mean all sales of tangible
personal property to any person for any purpose other than
those in which the purpose of the purchaser is (i) to resell
the property so transferred in the form in which the same

is, or is to be received by him, __(ii) to destroy the

property so transferred in the manufacturing, assembling,

processing or__refining of other tangible personal property

to be produced for sale or in the generation of electricity,
or (iii) to use or incorporate the property so transferred
as a material or part, or other tangible personal property
to be produced for sale by manufacturing, assembling,
processing or refining. Tangible personal property shall be
considered to be destroyed in manufacturing, processing,
assembling, refining or in the generation of electricity if
it is changed in nature by reason of its use in a relatively
short period of time, as the nature of coal is changed by
burning, as refractories which come in direct contact with

molten metals are changed by heat and abrasion, as___grinding

wheels__are reduced to dust, as acids are changed by

contamination, and so forth. Property which is broken or
mutilated shall not be considered to be destroyed. Tangible
personal property shall not be considered to be destroyed in
such operations if its value as property is ordinarily
dissipated through the gradual wear or tear incident to its
use. Machinery and small tools shall not be considered to
be destroyed in such operations. The terms "manufacturing,"
"assembling," "processing," and "refining" shall not include

(A) maintaining, servicing, or repairing;___(B)____testing

finished products; or (C) providing for the comfort or
health of employees. For the purpose of the tax imposed by
this subtitle, the term "sale at retail" includes but is not
limited to the following:

[(7) The sale or__charges for telephone, telegraph,

teletypewriter, or other telecommunication messages or
service, except such messages or service as are provided by
means of coin—operated telephones.]

[(8]) (7) Any commercial laundering or cleaning of

textiles rendered for a person engaged in a business which