WILLIAM DONALD SCHAEFER, Governor Ch. 787

CHAPTER 787

(Senate Bill 655)

AN ACT concerning

Sales and Use Tax - Exemption for Food

FOR the purpose of altering the exemption from the retail-sales
sales and use tax for certain sales of food for human
consumption, to provide an exception to the exemption for
certain sales of food prepared for immediate consumption
that the vendor delivers certain vendors deliver off the
premises; and generally relating to the exemption from the
retail sales sales and use tax for certain sales of food for
human consumption.

BY repealing and reenacting, with amendments,

Article - Tax - General
Section ll-206(d)
Annotated Code of Maryland
(1988 Volume)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Tax - General

11-206.

(d) (1) Except as otherwise provided in this subsection,
the sales and use tax does not apply to a sale of food:

(i) by a food vendor who provides no facilities
for food consumption on the premises; or

(ii) for consumption off the. premises where
sold by a food vendor who:

1.  provides facilities for food
consumption on the premises; and

2.  operates a substantial grocery or
market business at the same location where the food is sold.

(2) The exemptions under paragraph (1) of this
subsection do not apply to a sale, by a food vendor, of food:

(i) within an enclosure for which a charge is
made for admission; [or]

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