HARRY HUGHES, Governor

2073

Article 81 - Revenue and Taxes
4.

(f) A "common trust fund," as [the same is] defined in
[§ 62 of Article 11] § 3-501(B) OF THE FINANCIAL
INSTITUTIONS ARTICLE, shall not be considered a corporation
or association, and shall not be subject to taxation under
this article.

Franchise [Tax on Net Earnings of Savings Banks and
of Building, Saving and Loan Associations] TAXES

128.

(b) For the purposes of this [subtitle,] SECTION: (1)
a savings bank is an institution or corporation organized
for receiving deposits of money and paying interest thereon,
other than banks having a capital stock; (2) a [building,
saving] SAVINGS and loan association is [an association as
defined in § 161B of Article 23 of this Code (1965
Replacement Volume), as amended from time to time] A
CORPORATION (I) CHARTERED UNDER THE LAWS OF THIS STATE AS A
SAVINGS AND LOAN ASSOCIATION OR (II) CHARTERED UNDER THE
LAWS OF ANY OTHER STATE OR OF THE UNITED STATES AS A SAVINGS
AND LOAN ASSOCIATION AND ADMITTED TO DO BUSINESS IN THIS
STATE; AND (3) net earnings is an amount equal to the net
income of a taxpayer as if computed for the particular
savings bank or [building, saving] SAVINGS and loan
association under the provisions of the subtitle "Income
Tax" in THIS Article [81 of this Code (1957 Edition), as
amended from time to time]; provided, however, that in
computing net income, the taxpayer shall not be entitled to
exclude from his gross income any amounts which might
otherwise be excluded by § 280A(c)(4) of THIS Article [81 as
amended from time to time].

(d)  On or before the 15th day of the fourth month
after the end of its calendar or fiscal year, as the case
may be, the bank or association, acting through its
president, treasurer, or other proper officer, shall report
under oath to the Comptroller of the Treasury its net
earnings for that next previous taxable period, and at the
same time the bank or association shall pay to the
Comptroller of the Treasury the proper amount of tax for
that period as computed under this [subtitle] SECTION.

(e)  From the taxes collected from any bank or
association pursuant to the provisions of this [subtitle]
SECTION the Comptroller shall first deduct the cost of the
administration of this [subtitle] SECTION and credit the
same to the general funds of the State. The Comptroller
shall then apportion and pay over the remainder of the taxes
collected from any bank or association pursuant to the
provisions of this [subtitle] SECTION to one or more of the
several counties or Baltimore City, as follows: The net
remainder of the tax collected from any bank or association