PARRIS N. GLENDENING, Governor                             Ch. 636

(I) THE INSURANCE PREMIUMS TAX;

(II) THE PUBLIC SERVICE COMPANY FRANCHISE TAX;

(III) THE FINANCIAL INSTITUTION FRANCHISE TAX; AND

(IV) THE STATE INCOME TAX ON CORPORATIONS THE SAME TAX
CREDIT MAY NOT BE APPLIED MORE THAN ONCE AGAINST DIFFERENT TAXES BY THE
SAME TAXPAYER.

(B)     (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, THE
CREDIT ALLOWED UNDER THIS SECTION EQUALS 50 PERCENT OF THE AMOUNT OF
MONEY OR VALUE OF RESOURCES CONTRIBUTED CONTRIBUTIONS THAT ARE
APPROVED BY THE DEPARTMENT UNDER SUBSECTION (C) OF THIS SECTION MADE
DURING THE TAXABLE YEAR OF THE BUSINESS ENTITY AS A GIFT TO AN APPROVED
PROJECT.

(2) (I) THE CREDIT ALLOWED TO A BUSINESS ENTITY UNDER THIS
SECTION MAY NOT EXCEED, FOR ANY TAXABLE YEAR OF THE BUSINESS ENTITY,
THE LESSER OF:

1.       $125,000; OR

2.       THE TOTAL AMOUNT OF TAX OTHERWISE PAYABLE BY
THE BUSINESS ENTITY FOR THE TAXABLE YEAR.

(II) ANY EXCESS CREDIT THAT WOULD BE ALLOWED BUT FOR THE
LIMITATIONS UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH MAY BE CARRIED
OVER AND APPLIED AS A CREDIT FOR SUCCEEDING TAXABLE YEARS UNTIL THE
EARLIER OF:

1.       THE FULL AMOUNT OF THE EXCESS IS USED; OR

2.       THE EXPIRATION OF THE FIFTH TAXABLE YEAR AFTER
THE TAXABLE YEAR IN WHICH THE CONTRIBUTION WAS MADE

(C)     (1) THE CREDIT ALLOWED UNDER THIS SECTION MAY NOT BE
ALLOWED UNLESS THE BUSINESS ENTITY HAS APPLIED FOR AND RECEIVED
APPROVAL UNDER THIS SUBSECTION BY THE DEPARTMENT FOR EACH
CONTRIBUTION AS TO WHICH THE CREDIT IS CLAIMED.

(2)     EACH APPLICATION FOR APPROVAL OF A CONTRIBUTION SHALL
CONTAIN:

(I)      THE NAME OF THE APPROVED PROJECT TO WHICH THE
CONTRIBUTION IS TO BE MADE;

(II)    THE AMOUNT OF THE CONTRIBUTION; AND

(III) A CERTIFICATION BY AN INDEPENDENT AND UNRELATED THIRD
PARTY AS TO THE VALUE OF ANY NONMONETARY CONTRIBUTION INCLUDED.

(3)     THE DEPARTMENT MAY NOT APPROVE AN APPLICATION FOR
APPROVAL OF A CONTRIBUTION IF IT DETERMINES THAT:

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