WILLIAM DONALD SCHAEFER, Governor                       Ch. 2

11-403.

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

"Taxable price" § 11-101 "Taxable service" § 11-101
"Vendor" § 11-101

COLLECTION FROM BUYER.

(A)  DUTY OF VENDOR TO COLLECT.

EXCEPT AS OTHERWISE PROVIDED IN THIS SUBTITLE, A VENDOR
SHALL COLLECT THE APPLICABLE SALES AND USE TAX FROM THE BUYER:

(1)  AT THE TIME THAT THE SALE IS MADE, REGARDLESS OF
WHEN THE TAXABLE PRICE IS PAID;

(2)  IF THE TAX IS BASED ON A CREDIT OR INSTALLMENT
SALE, AT THE TIME THAT THE COMPTROLLER REQUIRES BY REGULATION; OR

(3)  IF A SALE FOR USE IS NOT TAXABLE WHEN THE SALE IS
MADE, AT THE TIME THAT THE USE BECOMES TAXABLE.

(B)  DUTY OF BUYER TO PAY.

EXCEPT AS OTHERWISE PROVIDED IN THIS TITLE, UNLESS A BUYER
IS OTHERWISE REQUIRED BY REGULATION TO PAY THE SALES AND USE TAX
DIRECTLY TO THE COMPTROLLER, THE BUYER SHALL PAY THE SALES AND
USE TAX TO THE VENDOR AT THE TIME REQUIRED UNDER SUBSECTION (A)
OF THIS SECTION.

(C)  REFUND WHEN SALE IS RESCINDED OR CANCELLED.

A VENDOR SHALL REFUND TO A BUYER THE PROPORTIONATE AMOUNT OF
SALES AND USE TAX THAT THE BUYER HAS PAID IF:

VENDOR; AND

OR CREDITED.

(1)  (I) A SALE IS RESCINDED OR CANCELLED; OR
(II) THE PROPERTY SOLD IS RETURNED TO THE

(2)  THE PURCHASE PRICE IS WHOLLY OR PARTIALLY REPAID

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 81, §§
329(a), 381(a), 347, and 376 and, as they related to
tax collection by vendors and tax payment by buyers, §
325(c) and the second sentence of (a), the first
sentence of § 377, and the second sentences of §§ 327,
373(a), and 379.

The introductory clauses of subsections (a) and (b) of
this section, "[e]xcept as otherwise provided in this
title", are added to clarify that exceptions exist.

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