WILLIAM DONALD SCHAEFER, Governor

Ch. 2

(A)  IN GENERAL.

(1)  EACH COUNTY SHALL SET, BY ORDINANCE OR
RESOLUTION, A COUNTY INCOME TAX RATE EQUAL TO AT LEAST 20% BUT
NOT MORE THAN 50% OF THE STATE INCOME TAX FOR AN INDIVIDUAL.

(2)  A COUNTY INCOME TAX RATE CONTINUES UNTIL THE
COUNTY CHANGES THE RATE BY ORDINANCE OR RESOLUTION.

(B)  RATE CHANGE.

IF A COUNTY CHANGES ITS COUNTY INCOME TAX RATE, THE COUNTY
SHALL:

(1)  INCREASE OR DECREASE THE RATE IN INCREMENTS OF 5
PERCENTAGE POINTS, EFFECTIVE ON JANUARY 1 OF THE YEAR THAT THE
COUNTY DESIGNATES; AND

(2)  GIVE THE COMPTROLLER NOTICE OF THE RATE CHANGE
AND THE EFFECTIVE DATE OF THE RATE CHANGE ON OR BEFORE JULY 1
PRIOR TO ITS EFFECTIVE DATE.

REVISOR'S NOTE: This section is new language derived
without substantive change from the second and third
sentences of former Art. 81, § 283(a) and the second
sentence of (b).

In this section, the former references to "any current
calendar year" and "each succeeding calendar year" are
deleted as surplusage.

Subsection (a)(2) of this section is revised to
reflect that a rate "continues until a county changes"
the rate. The former power to "provide that such tax
shall continue in effect for each succeeding calendar
year, unless ... modified by a subsequent ordinance or
resolution" was misleading, since the county has only
the power to set and change the rate within certain
percentages. See § 10-103 of this subtitle.
Similarly, in subsection (b) of this section, the
former reference to the tax being "repealed" is
deleted.

Also in subsection (b) of this section, former,
inaccurate reference to "any date other than December
31 of any calendar year" is deleted, for clarity in
light of the specific "January 1" effective date.

Also in subsection (b) of this section, the former
reference to "any such tax imposed" is deleted as
obsolete since all counties have set the initial rate.

Defined terms: "Comptroller" § 1-101

"County" § 1-101 "County income tax" § 10-101

"Individual" § 10-101 "State income tax" § 10-101

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