ROBERT L. EHRLICH, JR., Governor                             Ch. 410

writing include a description of the total payment to the transferor applied only
to transfers for which a certain payment is required; altering the circumstances
under which certain documentation is required to be filed with certain
instruments of writing effecting a change of ownership of assessment books;
altering the documentation required to be filed; altering a certain definition and
defining certain terms for purposes of a requirement that certain payments be
made before a deed or other instrument of writing may be recorded under
certain circumstances; providing an exemption from the requirement for
property transferred pursuant to a deed or other instrument of writing that
includes a certain statement; and generally relating to a requirement that for a
sale or exchange of certain property owned by a nonresident or nonresident
entity certain payments be made before a deed or other instrument of writing
may be recorded under certain circumstances.

BY repealing and reenacting, with amendments,
Article - Tax - General
Section 10-912
Annotated Code of Maryland
(1997 Replacement Volume and 2003 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Tax - General

10-912.

(a) (1) In this section the following words have the meanings indicated.

(2)     (I) ["Net proceeds"] EXCEPT AS PROVIDED IN SUBPARAGRAPH (II)
OF THIS PARAGRAPH, "NET PROCEEDS" means the total sales price paid to the
transferor less:

[(i)] 1. debts of the transferor secured by a mortgage or other lien
on the property being transferred that are being paid upon the sale or exchange of the
property; and

[(ii)] 2. other expenses of the transferor arising out of the sale or
exchange of the property and disclosed on a settlement statement prepared in
connection with the sale or exchange of the property, NOT INCLUDING ADJUSTMENTS
IN FAVOR OF THE TRANSFEREE.

(II) "NET PROCEEDS" DOES NOT INCLUDE ADJUSTMENTS IN FAVOR
OF THE TRANSFEROR THAT ARE DISCLOSED ON A SETTLEMENT STATEMENT
PREPARED IN CONNECTION WITH THE SALE OR EXCHANGE OF THE PROPERTY.

(3)     "Nonresident entity" means an entity that:

(i) is not formed under the laws of the State; and

(ii) is not qualified by or registered with the Department of
Assessments and Taxation to do business in the State.

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