2634

LAWS OF MARYLAND

Ch. 298

(I)  A CREDIT EQUAL TO THE AMOUNT OF
QUALIFIED AN AMOUNT NOT EXCEEDING $1,500 OF THE WAGES PAID
TO EACH QUALIFIED EMPLOYEE MEETING THE CRITERION OF
PARAGRAPH (1)(I)1. PROVIDED THAT SUCH QUALIFIED EMPLOYEE
BECAME A QUALIFIED EMPLOYEE DURING THE TAXABLE YEAR TO WHICH
THE CREDIT APPLIES AND WAS NOT HIRED TO REPLACE AN
INDIVIDUAL WHO WAS EMPLOYED BY THE BUSINESS ENTITY IN THAT
OR ANY PRECEDING TAXABLE YEAR, EXCEPT THAT IF SUCH QUALIFIED
EMPLOYEE WAS HIRED TO REPLACE A QUALIFIED EMPLOYEE WITH
RESPECT TO WHICH THE BUSINESS ENTITY RECEIVED A CREDIT UNDER
PARAGRAPHS (1)(I) OR (2)(II) IN THE IMMEDIATELY PRECEDING
TAXABLE YEAR, THE BUSINESS ENTITY MAY TREAT SUCH NEW
QUALIFIED EMPLOYEE AS THOUGH HE WERE THE REPLACED QUALIFIED
EMPLOYEE FOR PURPOSES OF DETERMINING ANY CREDIT THAT MAY BE
AVAILABLE TO THE BUSINESS ENTITY UNDER PARAGRAPHS (2)(II) OR
(2)(III)1.; AND

(II)  A CREDIT EQUAL TO THE AMOUNT OF
QUALIFIED AN AMOUNT NOT EXCEEDING $1,000 OF THE WAGES PAID
TO EACH QUALIFIED EMPLOYEE MEETING THE CRITERION OF
PARAGRAPH (1)(I)1., PROVIDED THAT THE BUSINESS ENTITY
RECEIVED A CREDIT UNDER PARAGRAPH (1)(I) WITH RESPECT TO
SUCH QUALIFIED EMPLOYEE IN THE IMMEDIATELY PRECEDING TAXABLE
YEAR; AND

(III)  A CREDIT EQUAL TO THE AMOUNT OF
QUALIFIED AN AMOUNT NOT EXCEEDING $500 OF THE WAGES PAID TO
EACH QUALIFIED EMPLOYEE :

1.  MEETING THE CRITERION OF
PARAGRAPH (1)(I)1., PROVIDED THAT THE BUSINESS ENTITY
RECEIVED A CREDIT UNDER PARAGRAPHS (1)(I) AND (2)(II) WITH
RESPECT TO SUCH QUALIFIED EMPLOYEE IN THE 2 IMMEDIATELY
PRECEDING TAXABLE YEARS; OR

2.  MEETING THE CRITERIA OF PARAGRAPH
(1)(II), PROVIDED THAT SUCH QUALIFIED EMPLOYEE BECAME A
QUALIFIED EMPLOYEE DURING THE TAXABLE YEAR TO WHICH THE
CREDIT APPLIES AND WAS NOT HIRED FOR THE PURPOSE OF
REPLACING AN INDIVIDUAL WHO WAS EMPLOYED BY THE BUSINESS
ENTITY IN THAT OR ANY PRECEDING TAXABLE YEAR.

(C) IF THE TAX CREDITS AVAILABLE UNDER THIS SECTION IN
ANY TAXABLE YEAR EXCEED THE TAX IMPOSED BY § 288 OF THIS
ARTICLE FOR THAT TAXABLE YEAR, SUCH EXCESS MAY BE APPLIED BY
THE BUSINESS ENTITY AS A CREDIT AGAINST THE TAX IMPOSED BY §
288 OF THIS ARTICLE FOR THE NEXT SUCCEEDING TAXABLE YEAR OR
YEARS UNTIL:

(1) ALL SUCH EXCESS IS FULLY APPLIED. APPLIED;

(2) THE EXPIRATION OF THE FIFTH TAXABLE YEAR
FROM THE DATE THE QUALIFIED EMPLOYEE TO WHICH SUCH CREDIT

OR