Table of Contents

Summary of Contents.......................................................................... iii

Foreword............................................................................................. v

Preface to the Fourth Edition............................................................. vii

Preface to the Third Edition................................................................ ix

Acknowledgements............................................................................ xiii

Capsule Review of 2005 Maryland Tax Legislation............................ xv

Table of Contents.............................................................................. xxv

Table of Forms.................................................................................. xcv

Chapter One

Administration by the Comptroller

I.

INTRODUCTION ...................................................................... 1-5

A.

      [§ 1.1]

Taxes Administered by Comptroller ............................... 1-5

B.

      [§ 1.2]

Taxes Not Administered by Comptroller ......................... 1-5

C.

      [§ 1.3]

Scope of Chapter .......................................................... 1-6

II.

ADMINISTRATIVE PROVISIONS ............................................ 1-6

A.

      [§ 1.4]

Generally ..................................................................... 1-6

B.

      [§ 1.5]

Returns ........................................................................ 1-7

C.

      [§ 1.6]

Licenses, Stamps and Certificates .................................. 1-7

D.

      [§ 1.7]

Chesapeake Bay and Endangered Species Fund ............. 1-8

E.

      [§ 1.8]

Fair Campaign Financing Fund ....................................... 1-9

F.

      [§ 1.9]

Maryland Cancer Fund ................................................. 1-9

G .

      [§ 1.10]

Police Responsibilities ................................................... 1-9

H.

      [§ 1.11]

Miscellaneous ............................................................. 1-10

Chapter Two

Admissions and Amusement Tax

I.

INTRODUCTION ...................................................................... 2-5

A.

      [§ 2.1]

Scope of Chapter .......................................................... 2-5

B.

Statutory History .......................................................................... 2-5

1.

            [§ 2.2]

The First Admissions and Amusement Tax ............. 2-5

2.

            [§ 2.3]

Scope and Application of the 1936 Act ................... 2-6

3.

            [§ 2.4]

The 1941 Amendments .......................................... 2-6

4.

            [§ 2.5]

The 1947 and 1949 Amendments ............................ 2-7

5.

            [§ 2.6]

Exemptions Added Between 1949 and 1969 ............ 2-8


6.

            [§ 2.7]

The 1969 and 1970 Amendments ............................ 2-9

7.

            [§ 2.8]

The 1971 and 1972 Amendments .......................... 2-10

C.

      [§ 2.9]

Local Subdivisions Benefit from the Tax ....................... 2-10

II.

IMPOSITION OF THE TAX ..................................................... 2-11

A.

      [§ 2.10]

Statutory Framework — Generally ............................... 2-11

B.

      [§ 2.11]

Activities Subject to Tax .............................................. 2-13

C.

      [§ 2.12]

Charges for Admission ................................................ 2-13

D.

      [§ 2.13]

Use of Games of Entertainment ................................... 2-15

E.

      [§ 2.14]

Use of Sporting or Recreational Facilities or
Rental of Equipment .................................................... 2-16

F.

Refreshment, Service, or Merchandise Supplied in
Connection with Entertainment .................................................... 2-17

1.

            [§ 2.15]

The Pre‑1988 Statute ........................................... 2-17

2.

            [§ 2.16]

The 1988 Code Revision ...................................... 2-17

3.

            [§ 2.17]

The Nature of the Entertainment —
The Four Star Case ............................................ 2-18

4.

            [§ 2.18]

The Citizens for Hoyer Case .............................. 2-19

5.

            [§ 2.19]

Receipts from Refreshments ................................ 2-20

6.

            [§ 2.20]

Must the Entertainment Constitute a
“Performance”? .................................................. 2-20

7.

            [§ 2.21]

Meaning of “In Connection With” ......................... 2-20

G.

      [§ 2.22]

Conclusion .................................................................. 2-21

III.

LIMITATIONS ON AUTHORIZATION TO TAX .................... 2-22

A.

      [§ 2.23]

Generally .................................................................... 2-22

B.

      [§ 2.24]

Permissive Exemptions ................................................ 2-23

C.

      [§ 2.25]

The “Exclusively” Requirement ................................... 2-23

IV.

FILING, PAYMENT, AND RECORD-KEEPING
REQUIREMENTS .................................................................... 2-24

A.

      [§ 2.26]

Filing Requirements in General ..................................... 2-24

B.

      [§ 2.27]

Payment Requirements — Generally ............................ 2-25

C.

      [§ 2.28]

Computation of the Tax ............................................... 2-25

D.

      [§ 2.29]

Penalties and Interest for Failure to File a Return,
Pay Taxes, or Keep Records ....................................... 2-25

E.

      [§ 2.30]

Criminal Penalties and Fines ........................................ 2-26

F.

      [§ 2.31]

Record-Keeping Requirements .................................... 2-27

V.

ASSESSMENT AND COLLECTION PROCEDURES .............. 2-27

A.

      [§ 2.32]

Generally .................................................................... 2-27

B.

      [§ 2.33]

Jeopardy Assessments ................................................ 2-28

VI.

APPEAL AND REFUND PROCEDURES ................................ 2-30


A.

      [§ 2.34]

Introduction ................................................................ 2-30

B.

      [§ 2.35]

Appeal Procedure ....................................................... 2-30

C.

      [§ 2.36]

Refund Procedures ........