WILLIAM DONALD SCHAEFER, Governor                   Ch. 723

CHAPTER 723

(House Bill 1278)

AN ACT concerning

Income Tax - Declaration of Estimated Tax

FOR the purpose of deleting the requirement for certain income
from gambling, awards, or contests to be paid in full as a
criteria for filing a declaration of estimated income tax.

BY repealing and reenacting, with amendments,

Article 81 - Revenue and Taxes

Section 312(j)(2)

Annotated Code of Maryland

(1980 Replacement Volume and 1986 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article 81 - Revenue and Taxes

312.

(j) (2) Every individual receiving income in the form of an
award, prize, lottery, or raffle (whether the same be paid in
cash or property) as a result of participating in an amusement,
educational, or advertising program, or any game of chance, or in
the operation of any known gambling device or machine, where the
amount of the prize or award is $500 or more [and is paid in full
at the time of the award, drawing, or completion of the contest
or event], shall within 60 days from the receipt of the award or
prize file an estimated return with respect thereto, or an
amended estimated return if an estimated return has previously
been filed, and shall with the filing of this return pay in full
the tax imposed under this subtitle upon the value of the award
or prize unless the value of the award or prize is tax exempt
under the provisions of this subtitle, anything in this
subsection to the contrary notwithstanding.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect July 1, 1987.

Approved June 2, 1987.

- 3293 -