WILLIAM DONALD SCHAEFER, Governor

Ch. 2

(II) THE DENOMINATOR OF WHICH IS THE AMOUNT OF
DEPOSITS AND SHARE ACCOUNTS THAT, ON THAT DAY, ARE HELD IN THE
SAVINGS BANK OFFICES OR SAVINGS AND LOAN ASSOCIATION OFFICES
LOCATED IN ALL COUNTIES; AND

(3) IF A FINANCIAL INSTITUTION FRANCHISE TAX REFUND
CLAIM UNDER § 13-901 OF THIS ARTICLE IS ALLOWED, DEDUCT THE
AMOUNT COMPUTED UNDER SUBSECTION (A)(2) OF THIS SECTION.

REVISOR'S NOTE: Subsection (a)(1) of this section is new
language added to state expressly that which only was
implied in the former law. Under former Art. 81, §
128(e)(2), the Comptroller must deduct administrative
costs from the total financial institution franchise
tax attributable to savings banks and savings and loan
associations and distribute fractional shares to
counties. Since the Department certifies the
fractional shares, clearly it must make a deduction
for administrative costs.

Subsections (a)(2) and (c)(3) of this section are new
language derived without substantive change from the
third sentence of former Art. 81, § 218.

Subsections (b) and (c)(1) and (2) of this section are
new language that repeats the provisions of the third
sentence and, as it related to the calculation of
county shares, the second sentence of former Art. 81,
§ 128(e)(2).

In subsection (c)(2)(i) and (ii) of this section, the
references to "the last day of" the 2nd preceding
fiscal year of a savings bank or savings and loan
association and "that day" are added to reflect the
practice of the Department.

As to the transfer of former Art. 81, § 128(a) through
(h-1) to the Session Laws, see the General Revisor's
Note to this subtitle.

Defined terms: "Comptroller" § 1-101
"County" § 1-101 "Department" § 1-101
"Savings bank" § 8-101
"Savings and loan association" § 8-101

GENERAL REVISOR'S NOTE:

This subtitle combines the provisions of former Art. 81, §
128, which imposed a franchise tax on "savings banks and
building, savings and loan associations", and § 128A, which
imposed a franchise tax on "financial institutions".

Before 1983, the 2 taxes differed basically in their rates
and methods to determine the "net earnings" on which the taxes
were calculated. Ch. 358, Acts of 1983, provided that between

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