ROBERT L. EHRLICH, JR., Governor                           H.B. 753

(2) THE RECORDATION TAX IS NOT IMPOSED ON THE TRANSFER OF A
CONTROLLING INTEREST IN A REAL PROPERTY ENTITY EFFECTED IN MORE THAN
ONE TRANSACTION IF:

(I) THE TRANSFER IS COMPLETED OVER A PERIOD OF MORE THAN
12 MONTHS; OR

(II) THE TRANSFER IS NOT MADE IN ACCORDANCE WITH A PLAN OF
TRANSFER.

(3) THE RECORDATION TAX IS NOT IMPOSED ON THE TRANSFER OF A
CONTROLLING INTEREST IN A REAL PROPERTY ENTITY TO ANOTHER BUSINESS IF
THE OWNERSHIP INTERESTS IN THE TRANSFEREE BUSINESS ENTITY ARE HELD BY
THE SAME PERSONS AND IN THE SAME PROPORTION AS IN THE REAL PROPERTY
ENTITY THE CONTROLLING INTEREST OF WHICH WAS TRANSFERRED.

(4) THE RECORDATION TAX IS NOT IMPOSED ON THE TRANSFER OF A
CONTROLLING INTEREST IN A REAL PROPERTY ENTITY IF EACH TRANSFEROR, EACH
TRANSFEREE, AND EACH REAL PROPERTY ENTITY IS:

(I) A SUBSIDIARY CORPORATION, ALL OF THE STOCK OF WHICH IS
OWNED, DIRECTLY OR INDIRECTLY, BY A COMMON PARENT CORPORATION;

(II) A PARTNERSHIP, ALL OF THE INTERESTS IN WHICH ARE
OWNED, DIRECTLY OR INDIRECTLY, BY ONE OR MORE SUBSIDIARIES OR THE
COMMON PARENT CORPORATION; OR

(III) THE COMMON PARENT CORPORATION:

(5) THE RECORDATION TAX IS NOT IMPOSED ON THE TRANSFER OF A
CONTROLLING INTEREST IN A REAL PROPERTY ENTITY IF THE TRANSFEREE OF THE
CONTROLLING INTEREST IN THE REAL PROPERTY ENTITY IS:

(I) A NONSTOCK CORPORATION ORGANIZED UNDER TITLE 5,
SUBTITLE 2 OF THE CORPORATIONS AND ASSOCIATIONS ARTICLE; AND

(II) REGISTERED WITH THE DEPARTMENT OF AGING AS A
CONTINUING CARE RETIREMENT COMMUNITY UNDER ARTICLE 70B, § 9 OF THE
CODE.

(6) THE REAL PROPERTY ENTITY HAS THE BURDEN OF ESTABLISHING
TO THE SATISFACTION OF THE DEPARTMENT THE APPLICABILITY OF ANY
EXEMPTION REFERRED TO IN PARAGRAPHS (1) THROUGH (5) OF THIS SUBSECTION.

(D) (1) THE REAL PROPERTY ENTITY SHALL FILE WITH THE DEPARTMENT A
REPORT OF ANY TRANSFER OF A CONTROLLING INTEREST IN THE REAL PROPERTY
ENTITY THAT IS COMPLETED WITHIN A PERIOD OF 12 MONTHS OR LESS WITHIN 30
DAYS FOLLOWING THE DATE OF THE FINAL TRANSFER.

(2) THE REPORT SHALL INCLUDE ALL INFORMATION TO ESTABLISH TO
THE SATISFACTION OF THE DEPARTMENT:

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