Ch. 630                                    1997 LAWS OF MARYLAND

(VIII) ANY OTHER FORM OF MOBILE COMMUNICATION.

(3) "TELECOMMUNICATIONS SERVICE" DOES NOT INCLUDE:

(I) NONVOICE SERVICES IN WHICH COMPUTER PROCESSING
APPLICATIONS ARE USED TO ACT ON THE INFORMATION TO BE TRANSMITTED;

(II) CABLE SERVICE, AS DEFINED UNDER § 602 OF THE
COMMUNICATIONS ACT OF 1934, AS AMENDED (47 U.S.C. 522), THAT IS PROVIDED BY A
CABLE OPERATOR OVER A CABLE SYSTEM PURSUANT TO A FRANCHISE GRANTED
BY A LOCAL GOVERNMENT; OR

(III) INTERNET ACCESS SERVICE BY WHICH A CONNECTION IS
PROVIDED BETWEEN A COMPUTER AND THE INTERNET.

8-402.

A franchise tax, measured by gross receipts, is imposed, for each calendar year, on
each public service company doing business in the State.

8-403.

(A)     [The] FOR A PERSON ENGAGED IN AN ELECTRIC, GAS, OR OIL PIPELINE
BUSINESS IN THE STATE, THE public service company franchise "tax rate is 2% of gross
receipts derived from AN ELECTRIC, GAS, OR OIL PIPELINE business in the State:

(B)    (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF TIES SUBSECTION, FOR
A PERSON PROVIDING A TELECOMMUNICATIONS SERVICE IN THE STATE, THE
PUBLIC SERVICE COMPANY FRANCHISE TAX RATE IS 5% OF GROSS RECEIPTS
DERIVED FROM PROVIDING TELECOMMUNICATIONS SERVICE IN THE STATE.

(2) FOR CALENDAR YEARS BEFORE 2000, THE PUBLIC SERVICE

COMPANY FRANCHISE TAX RATE FOR A PERSON PROVIDING

TELECOMMUNICATIONS SERVICE IN THE STATE IS:

(I) 3% FOR CALENDAR YEAR 1998; AND

(II) 4% FOR CALENDAR YEAR 1999.

8-409.

The public service company franchise tax with respect to gross receipts from [long
distance] telecommunications service shall be added to and disclosed as an element of
the [long distance telecommunications company's] PUBLIC SERVICE COMPANY'S
charge to the customer for the service.

10-306.

(C) THE ADDITION UNDER SUBSECTION (A) OF THIS SECTION INCLUDES THE
AMOUNT OF THE CREDIT ALLOWED UNDER § 10-708 OF THIS TITLE FOR PROPERTY
TAXES PAID ON OPERATING REAL PROPERTY BY A PUBLIC UTILITY THAT IS A
TELECOMMUNICATIONS COMPANY. DETERMINED WITHOUT REGARD TO THE
LIMITATION UNDER § 10-708(B) OF THIS TITLE.

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