under the income tax for the purposes of determining Maryland modified income
of a public service company engaged in an electric or gas business in the State;
providing a credit against the corporate income tax for certain property taxes
paid on certain operating real property. used to generate electricity for sale;
providing a credit against the corporate income tax for certain wages paid by
certain multijurisdictional electric companies at certain corporate or regional
headquarters in the State; imposing a special use tax on certain electricity used
in the State but not delivered by a public service company, to be administered by
the Comptroller under the sales and use tax; requiring the Comptroller to adopt
certain regulations; clarifying the definition of "production activity" under the
sales and use tax in regard to the generation of electricity; altering the
definition of taxable price under the sales and use tax to include a separately
stated charge for a taxable delivery service; making the delivery of electricity or
natural gas a taxable service under the sales and use tax if the sale of the
electricity or natural gas is taxable; clarifying a certain exemption under the
sales and use tax for sales of certain energy for use in residential property;
defining a public utility for purposes of the property tax law; altering the
definition of operating personal property for property tax purposes for certain
public utilities; establishing separate property tax subclasses in personal
property for machinery and equipment used to generate electricity; providing a
partial exemption from property tax for machinery and equipment used to
generate electricity for sale; phasing in the exemption over a certain period;
requiring the Department of Assessments and Taxation to consider and evaluate
certain criteria in determining whether to classify a company as a public utility
for property tax purposes; authorizing the Department to classify a company as
a public utility under certain circumstances notwithstanding the company's
failure to meet all the criteria; requiring the State to make certain annual
grants to reimburse certain counties in certain amounts for certain fiscal years
for certain costs of a certain property tax exemption; requiring the State to make
a certain annual grant to a certain county for certain fiscal years under certain
circumstances; repealing the public service company franchise tax as to oil
pipeline companies and telegraph companies; defining certain terms; requiring
the Public Service Commission to determine and require certain adjustments in
electric and gas utility rates; prohibiting an electric or gas public service
company from surcharging a certain tax to its customers until a certain
reduction in rates is effective; altering certain provisions relating to interest and
penalties on certain underestimated tax for a certain taxable year for a public
service company engaged in an electric or gas business in the State; making this
Act contingent on the taking effect of another Act; requiring the Comptroller, the
Department of Assessments and Taxation, and the Public Service Commission,
in cooperation with certain persons, to conduct a study to be coordinated by the
Department of Legislative Services and to report to the General Assembly on or
before a certain date; providing for the effective dates and application of this Act;
and generally relating to the taxation of public service companies engaged in an
electric or gas business in the State.

BY repealing and reenacting, with amendments,
Article - Tax - General