10-207.

(r) (1) In this subsection, "modified Maryland adjusted gross income" means
Maryland adjusted gross income determined separately for each spouse on a joint
return without regard to the subtraction allowed under this subsection.

(2) Subject to the limitation under paragraph (3) of this subsection, for a
two-income married couple filing a joint return, the subtraction under subsection (a)
of this section includes THE LESSER OF $1,200 OR the modified Maryland adjusted
gross income of the spouse with the lesser modified Maryland adjusted gross income
for the taxable year.

[(3) The subtraction under paragraph (2) of this subsection may not

exceed:

(i) $1,154 for a taxable year beginning after December 31, 1997 but
before January 1, 1999;

(ii) $1,144 for a taxable year beginning after December 31, 1998 but
before January 1, 2000;

(iii) $1,144 for a taxable year beginning after December 31, 1999 but
before January 1, 2001;

(iv) $1,125 for a taxable year beginning after December 31, 2000 but
before January 1, 2002; and

(v) $1,105 for a taxable year beginning after December 31, 2001.]

10-211.

Whether or not a federal return is filed, to determine Maryland taxable income,
an individual other than a fiduciary may deduct as an exemption:

(1) $1,200 for each exemption that the individual may deduct in the
taxable year to determine federal taxable income under § 151 of the Internal Revenue
Code[:

(i) $1,750 for a taxable year beginning after December 31,1997 but
before January 1, 1999;

(ii) $1,850 for a taxable year beginning after December 31, 1998 but
before January 1, 2000;

(iii) $1,850 for a taxable year beginning after December 31, 1999 but
before January 1, 2001;

(iv) $2,100 for a taxable year beginning after December 31, 2000 but
before January 1, 2002; and

(v) $2,400 for a taxable year beginning after December 31, 2001];