LAWS OF MARYLAND

Revenue Code and determined without reference to the percentage
limitation in § 21(a)(2) of the Internal Revenue Code.]

[(f)] (B) The subtraction under subsection (a) of this
section includes a distribution, to a beneficiary, of accumulated
income on which a fiduciary has paid the income tax.

[(g)](C) The subtraction under subsection (a) of this
section includes interest or dividends attributable to an
obligation of the United States or an authority, commission,
instrumentality, possession, or territory of the United States.

[(h) The subtraction under subsection (a) of this section
includes the fair market value of any artistic, literary, or
musical creation or other artwork donated to and accepted by a
museum in the State that is open to the general public if:

(1)   the value is not deductible from federal adjusted
gross income;

(2)  at least 50% of total income for the current or
prior taxable year is derived from the sale of artwork that the
individual produced;

(3)  an independent appraiser verifies the fair market
value;

(4)   the adjustment for the artwork is not more than
50% of the individual's gross income in the calendar year of the
donation.

(i) (1) (i) In this subsection the following words have the
meanings indicated.

(ii) "Farm product" means a farm product, as
defined in § 10-601 of the Agriculture Article, that:

1.   is grown or raised primarily ' to be
sold;

2. A. the farmer donates to a gleaning
cooperative; or

B. the farmer allows to be harvested or
collected, free of charge, by a gleaning cooperative; and

3.   is suitable for human consumption when
donated.

(iii) "Gleaning cooperative" means a nonprofit
organization that is:

- 2004 -

Ch. 178