PARRIS N. GLENDENING, Governor                               Ch. 71

(i) previously owned the real property;

(ii) owns the stock of the subsidiary and has owned that stock for a
period greater than 18 months; or

(iii) acquires the stock of a subsidiary corporation which has been in
existence and has owned the real property for a period of 2 years,

(v) Articles of merger or other document which evidences a merger of foreign
corporations are not subject to recordation tax if there is a transfer of real property:

(1)     from a parent corporation to its subsidiary corporation;

(2)     from a subsidiary corporation to its parent corporation where the parent
corporation:

(i) previously owned the real property;

(ii) owns the stock of the subsidiary and has owned that stock for a
period greater than 18 months; or

(iii) acquires the stock of a subsidiary corporation which has been in
existence and has owned the real property for a period of 2 years; or

(3)     from a corporation merging out of existence to its successor
CORPORATION where recordation tax and, if then required to have been paid, transfer
tax were paid when the corporation merging out of existence acquired title to the real
property.

13-404.

(b) (1) Articles of transfer are not subject to county transfer tax if the articles of
transfer are for:

(i) a transfer of real property between a parent corporation and its
subsidiary corporation or between 2 or more subsidiary corporations wholly owned by the
same parent corporation if the parent corporation is an original stockholder of the
subsidiary or subsidiaries, or became a stockholder through gift or bequest from an
original stockholder of the corporation for:

1. no consideration;

2.       nominal consideration; or

3.       consideration that comprises only the issuance, cancellation,
or surrender of a subsidiary's stock;

(ii) [a deed made:

1. under] A TRANSFER OF REAL PROPERTY MADE
PURSUANT TO a reorganization described in § 368(a) of the Internal Revenue Code; or

[2. under §§ 371 through 374 of the Internal Revenue Code; or]
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