Ch. 2                                    LAWS OF MARYLAND

11-219. STATE OR POLITICAL SUBDIVISION.

(A)  EXEMPTION.

THE SALES AND USE TAX DOES NOT APPLY TO A SALE TO THE STATE
OR A POLITICAL SUBDIVISION OF THE STATE.

(B)  LIMITATION.

THE EXEMPTION UNDER SUBSECTION (A) OF THIS SECTION MAY NOT
BE CONSTRUED TO EXEMPT ANY SALE OF TANGIBLE PERSONAL PROPERTY,
OTHERWISE TAXABLE UNDER THIS TITLE, TO A CONTRACTOR TO BE USED
UNDER A CONTRACT WITH THE STATE OR A POLITICAL SUBDIVISION OF THE
STATE FOR CONSTRUCTION, REPAIR, OR ALTERATION OF REAL PROPERTY.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 81, §
326(a) and, as it extended the exemptions under the
former retail sales tax to the former use tax, §
375(b).

In subsection (b) of this section, the former word
"builders" is deleted as unnecessary in light of the
use of the word "contractor".

Also in subsection (b) of this section, the former
reference to contracts "advertised for bids after July
1, 1968" is deleted as obsolete.

Defined terms: "Sale" § 11-101
"Sales and use tax" § 1-101
"Tangible personal property" § 11-101
"Use" § 11-101

11-220. TAXATION BY OTHER LAW.

(A) TAXED UNDER OTHER LAW.

THE SALES AND USE TAX DOES NOT APPLY TO:

(1) A SALE OF AN ADMISSION BY A PERSON WHOSE GROSS
RECEIPTS FROM THE SALE ARE SUBJECT TO THE ADMISSIONS AND
AMUSEMENT TAX;

PAID;

(2) A SALE OF CIGARETTES ON WHICH THE TOBACCO TAX IS

(3)  A SALE OF A COMMUNICATION SERVICE RENDERED BY A
PERSON WHOSE CHARGE FOR A COMMUNICATION SERVICE IS OR WOULD BE
SUBJECT TO THE FEDERAL EXCISE TAX AS DESCRIBED IN § 4251 OF THE
INTERNAL REVENUE CODE IN EFFECT ON JULY 1, 1979;

(4)  A SALE OF A MOTOR FUEL THAT IS SUBJECT TO THE
MOTOR FUEL TAX OR THE MOTOR CARRIER TAX;

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