PARRIS N. GLENDENING, Governor                              Ch. 611

Article - Labor and Employment
Section 8-607(b) and 8-613(c)
Annotated Code of Maryland
(1991 Volume and 1995 Supplement)

BY adding to

Article - Labor and Employment

Section 8-610.5

Annotated Code of Maryland

(1991 Volume and 1995 Supplement)

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

Article - Labor and Employment

8-607.

(a)     Except as provided in Part III of this subtitle, an employing unit shall pay to
the Secretary contributions for the Unemployment Insurance Fund on taxable wages for
covered employment that is performed for the employing unit.

(b)     (1) Subject to paragraph (2) of this subsection, the taxable wage base is the
first $8,500 in wages that:

(i) an employing unit pays to each employee for covered employment
during a calendar year; [ or]

(ii) an employing unit or predecessor employer, or combination of
both, pays to each employee [who was continuously employed immediately before and
after a transfer of a business for covered employment in this State or another state during
a calendar year] FOR COVERED EMPLOYMENT DURING A CALENDAR YEAR,
PROVIDED THAT PAYROLLS AND BENEFIT CHARGES OF THE PREDECESSOR
EMPLOYING UNIT ARE TRANSFERRED TO ITS SUCCESSOR EMPLOYING UNIT IN
ACCORDANCE WITH § 8-613(C)(2) OF THIS SUBTITLE; OR

(III) AN EMPLOYING UNIT PAYS TO EACH EMPLOYEE WHO WAS
CONTINUOUSLY EMPLOYED IMMEDIATELY BEFORE AND AFTER A TRANSFER OF A
BUSINESS FOR COVERED EMPLOYMENT IN THIS STATE OR ANOTHER STATE DURING
A CALENDAR YEAR PROVIDED THE PAYROLLS AND BENEFITS CHARGES OF THE
EMPLOYING UNIT ARE TRANSFERRED FROM ANOTHER STATE TO THIS STATE
UNDER § 8-610(B)(1) OF THIS SUBTITLE.

(2) If the Federal Unemployment Tax Act or any other federal tax law that
allows a credit for a contribution to a state unemployment insurance fund increases the
maximum amount of wages taxable under that law in a calendar year to more than $8,500,
the taxable wage base under paragraph (1) of this subsection shall be the same as under
the federal law.

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