WILLIAM DONALD SCHAEFER, Governor

Ch. 2

(1)  50% OF THE UNDERPAYMENT OF FINANCIAL INSTITUTION
FRANCHISE TAX;

(2)  50% OF THE UNDERPAYMENT OF INCOME TAX; AND

(3)  100% OF THE UNDERPAYMENT OF SALES AND USE TAX.

REVISOR'S NOTE: Item (1) and the reference to "financial
institution franchise tax" in the introductory
language of this section are added to state expressly
that which only was implied by former Art. 81, §§
128(h)(1) and 128A(f)(l), which made a financial
institution failing to pay tax "subject to the ...
penalties provided ... in the subtitle 'Income Tax'".

Items (2) and (3) of this section are new language
derived without substantive change from the second
sentence of former Art. 81, § 302(a), except the
reference to perjury, and § 345(b), except the
reference to interest.

In the introductory language of this section, the
defined term "governmental unit" is added for clarity.
See the revisor's note to § 13-101(b) of this title.

The Tax - General Article Review Committee notes, for
consideration by the General Assembly, that it may
wish to make this section generally applicable to the
taxes under this article.

Defined terms: "Financial institution

franchise tax" § 1-101
"Governmental unit" § 13-101
"Income tax" § 1-101 "Person" § 1-101
"Sales and use tax" § 1-101
"Tax collector" § 13-101

13-704. FRAUDULENT FAILURE TO FILE RETURN.

IF, WITH THE INTENT TO EVADE THE PAYMENT OF TAX, A PERSON OR
GOVERNMENTAL UNIT FAILS TO FILE AN ADMISSIONS AND AMUSEMENT TAX
RETURN, A MOTOR FUEL TAX RETURN, OR A SALES AND USE TAX RETURN
WHEN REQUIRED UNDER THIS ARTICLE, THE TAX COLLECTOR SHALL ASSESS
A PENALTY OF 100% OF THE UNDERPAYMENT OF TAX.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 56, §
137(g) and former Art. 81, §§ 407(a)(2) and 344(b),
except the references to interest.

The defined term "governmental unit" is added for
clarity. See the revisor's note to § 13-101(b) of

this title.

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