HARRY HUGHES, Governor

1647

BY repealing and reenacting, with amendments,

Article 81 — Revenue and Taxes

Section 150

Annotated Code of Maryland

(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be repealed, amended, or enacted to read as follows: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

150.

(A) There is hereby levied and imposed a tax at the
rate of ten per centum on every one hundred dollars of the
clear value of any and all property having a taxable situs
in this State, passing at the death of any resident or
nonresident decedent, in trust or otherwise, to or for the
use of any person or persons other than the father, mother,
husband, wife, children, or lineal descendants of such
decedent or any stepchild or stepparent of the decedent; the
rate of 1 percent shall apply [also] to the amount of any
joint savings account passing at the death of the decedent
by survivorship to a spouse of a lineal descendant up to an
aggregate of $2000 for all accounts held jointly with any
such spouse, any amount in excess of that amount to be taxed
at the collateral rate provided in § 150. Provided, however,
that nothing in this section shall apply to property passing
to the State or to any county or city of the State by
escheat or otherwise, or to moneys not in excess of five
hundred dollars bequeathed for the perpetual upkeep of a
grave or graves. And provided further that nothing in this
section shall apply to property passing, in trust or
otherwise, to or for the use of a corporation, trust or
community chest, fund, or foundation, created or organized
under the law of the United States or any state or territory
or possession of the United States, organized and operated
exclusively for religious, charitable, scientific, literary
or educational purposes, including the encouragement of art
and the prevention of cruelty to children or animals, if
none of the purposes and no substantial part of the
activities of which are carrying on propaganda or otherwise
attempting to influence legislation and if no part of the
net earnings of which inures to the benefit of any private
shareholder or individual, and (i) if a substantial part of
all of the activities and work of which are carried on in
the State of Maryland or in the District of Columbia, or
(ii) if it is a Maryland corporation, or (iii) if the law of
such jurisdiction other than Maryland does not impose a
legacy, inheritance, succession or death tax of any
character in respect of property transferred to a similar
eleemosynary beneficiary organized or existing under the law
of the State of Maryland or provides for an exemption from
such taxes on such transfers on a reciprocal basis. For the