3886                                                    VETOES

of the domestic international sales corporation is subject to
Maryland taxation; (8) expenses incurred for reforestation or
timber stand improvement activity as determined under the
provisions of §§ 280C and 280D of this subtitle; [and] (9) the
dollar amount by which the employer business deduction for
employee wages and salaries is disallowed under § 280C(b) of the
Internal Revenue Code (relating to targeted jobs credit); AND
(10) EXPENSES INCURRED FOR THE PURCHASE AND INSTALLATION OF
CONSERVATION TILLAGE EQUIPMENT AS DETERMINED UNDER § 280E OF THIS
SUBTITLE.

280E.

(A) (1) IN THIS SECTION "CONSERVATION TILLAGE EQUIPMENT"
MEANS A PLANTER OR DRILL THAT:

(I) IS COMMONLY KNOWN AS A "NO-TILL" PLANTER OR
DRILL; AND

(II) IS DESIGNED TO MINIMIZE THE DISTURBANCE OF
THE SOIL IN PLANTING CROPS.

(2) "CONSERVATION TILLAGE EQUIPMENT" INCLUDES A
PLANTER OR DRILL THAT ATTACHES TO OR IS PULLED BY EQUIPMENT.

(B) (1) A TAXPAYER IS ALLOWED A SUBTRACTION MODIFICATION
EQUAL TO 100 PERCENT OF THE EXPENSES INCURRED FOR THE -PURCHASE
AND INSTALLATION OF CONSERVATION TILLAGE EQUIPMENT USED IN
AGRICULTURAL PRODUCTION BY THE TAXPAYER, IF THE CONSERVATION
TILLAGE EQUIPMENT:

(I) HAS A USEFUL LIFE OF 4 OR MORE YEARS; AND

(II) WAS PURCHASED BY THE TAXPAYER AFTER
DECEMBER 31, 1985.

(2) THE TAXPAYER SHALL CONTINUE TO OWN THE
CONSERVATION TILLAGE EQUIPMENT FOR 3 OR MORE YEARS AFTER CLAIMING
THE SUBTRACTION MODIFICATION PROVIDED UNDER §§ 280(C)(19) AND
280A(C)(10) OF THIS ARTICLE.

(C) THE DEPARTMENT OF AGRICULTURE SHALL CERTIFY THAT THE
TAXPAYER HAS COMPLIED WITH THE REQUIREMENTS OF SUBSECTIONS (A)
AND (B) OF THIS SECTION AND SHALL PROVIDE THE TAXPAYER WITH A
STATEMENT TO BE INCLUDED WITH THE TAXPAYER'S MARYLAND INCOME TAX
RETURN TO SUBSTANTIATE ANY SUBTRACTION MODIFICATION CLAIMED UNDER
§§ 280(C)(19) AND 280A(C)(10) OF THIS ARTICLE.

(D) ANY AMOUNT OF THE SUBTRACTION MODIFICATION THAT EXCEEDS
THE TAXPAYER'S TAXABLE INCOME AND IS NOT USED BY THE TAXPAYER FOR
THE TAXABLE YEAR MAY BE CARRIED OVER TO THE SUCCEEDING TAXABLE
YEARS, NOT TO EXCEED 5, UNTIL THE FULL AMOUNT OF THE SUBTRACTION
MODIFICATION IS USED.