Ch. 2

LAWS OF MARYLAND

Item (2) of this section is new language derived
without substantive change from former Art. 81, §
288(d)(5) and the first sentence of § 313(c).

Item (3) of this section is new language derived
without substantive change from the first clause of
former Art. 81, § 12G-12(a).

Item (4) of this section is new language derived
without substantive change from former Art. 81, §
288(d)(1).

Item (5) of this section is new language substituted
for former Art. 81, § 288(d)(4) and (6), which
referred to "companies as defined in § 135 of" former
Art. 81 and enumerated "[f]armers or other mutual
hail, cyclone or fire insurance companies or
associations, the income of which is used or held for
the purpose of paying losses or expenses", for clarity
and brevity.

Item (6) of this section is new language derived
without substantive change from the second clause of
the second sentence of former Art. 81, § 315.

Item (7) of this section is new language derived
without substantive change from former Art. 81, §
288(d)(9).

The introductory language of item (2) of this section,
"except as provided in § 10-304(2) of this title", is
added to reference the inclusion of the unrelated
business taxable income of an exempt corporation.

In item (4) of this section, the defined term
"financial institution franchise tax" is substituted
for the former reference to "the franchise tax on net
earnings imposed by § 128A of this article", for
brevity.

In item (7) of this section, the former "December 31,
1975" effective date is deleted as surplusage.

Former Art. 81, § 288(d)(2) and (3), which
specifically exempted "[m]utual savings institutions"
and "building and loan associations", is deleted as
unnecessary since those entities are financial
institutions subject to the financial institution
franchise tax, and, therefore, are exempted under item
(4) of this section.

Former Art. 81, § 288(d)(7) and (8), which

specifically exempted a fund or plan that provides for

the payment of group life, sickness, and accident

benefits to employees and their beneficiaries, a

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