Ch. 2

LAWS OF MARYLAND

Also in subsections (a) and (b) of this section, the
words "not for profit" are substituted for the former
word "nonprofit", for clarity.

Also in subsections (a) and (b) of this section, the
former references to "Baltimore City" are deleted as
included in the defined term "county".

In subsection (a) of this section, the word
"organized" is substituted for the former word
"formed", for clarity and consistency.

Also in subsection (a) of this section, the former
phrase "whether or not incorporated" is deleted as
surplusage in light of the reference to a
"stockholder".

In subsection (b) of this section, the word
"organization" is substituted for the former words
"groups or associations", for clarity.

Also in subsection (b) of this section, the former
phrase "whether by a single ticket, season ticket or
subscriptions" is deleted as surplusage.

The Tax - General Article Review Committee notes, for
consideration by the General Assembly, that federal
law requires a not for profit organization to be
"organized and operated" for specific purposes. The
General Assembly may wish to add in subsections (a)
and (b) of this section the requirement that the not
for profit organizations be "operated" for the
purposes indicated.

Defined terms: "Admissions and amusement tax" § 1-101
"County" § 1-101

4-105. TAX RATES AND ADDITIONAL TAX.

(A)  TAX RATES GENERALLY.

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE ADMISSIONS
AND AMUSEMENT TAX RATE IS:

(1)  THE RATE THAT A COUNTY OR MUNICIPAL CORPORATION
SETS, NOT EXCEEDING 10% OF GROSS RECEIPTS SUBJECT TO THE
ADMISSIONS AND AMUSEMENT TAX; OR

(2)  THE RATE THAT THE STADIUM AUTHORITY SETS, NOT
EXCEEDING 8% OF GROSS RECEIPTS SUBJECT TO THE ADMISSIONS AND
AMUSEMENT TAX.

(B)  LIMITATION ON RATES WHEN SALES AND USE TAX APPLIES.

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