ROBERT L. EHRLICH, JR., Governor                               H.B. 2

6-308.

ON OR BEFORE JANUARY 1 OF EACH YEAR, THE DIVISION SHALL REPORT TO
THE GOVERNOR AND, SUBJECT TO § 2-1246 OF THE STATE GOVERNMENT ARTICLE,
TO THE GENERAL ASSEMBLY ON THE ACTIVITIES OF THE DIVISION DURING THE
PRIOR FISCAL YEAR

Article - Tax - General

10-104.

The income tax does not apply to the income of:

(1)     a common trust fund, as defined in § 3-501(b) of the Financial
Institutions Article;

(2)     except as provided in §§ 10-101(e)(3) and 10-304(2) of this title, an
organization that is exempt from taxation under § 408(e)(1) or § 501 of the Internal
Revenue Code;

(3)     a financial institution that is subject to the financial institution
franchise tax;

(4)     a person subject to taxation under Title 6 of the Insurance Article;

(5)     except as provided in § 10-102.1 of this subtitle, a partnership, as
defined in § 761 of the Internal Revenue Code;

(6)     except as provided in § 10-102.1 of this subtitle and § 10-304(3) of
this title, an S corporation;

(7)     except as provided in § 10-304(4) of this title, an investment conduit
or a special exempt entity; or

(8)     except as provided in § 10-102.1 of this subtitle, a limited liability
company as defined under Title 4A of the Corporations and Associations Article to the
extent that the company is taxable as a partnership, as defined in § 761 of the
Internal Revenue Code.

SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland
read as follows:

Article - Insurance

19-104.1.

(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
INDICATED.

(2)      "AGREEMENT" MEANS A CONTRACT BETWEEN THE MARYLAND
INSURANCE ADMINISTRATION AND A MEDICAL PROFESSIONAL LIABILITY INSURER
UNDER SUBSECTION (J) OF THIS SECTION.

(3)      "FUND" MEANS THE MARYLAND MEDICAL PROFESSIONAL LIABILITY
INSURANCE RATE STABILIZATION FUND.

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