§ 11-204. Exempt organizations
West's Annotated Code of MarylandTax-GeneralEffective: May 30, 2021
Effective: May 30, 2021
MD Code, Tax - General, § 11-204
§ 11-204. Exempt organizations
(a) The sales and use tax does not apply to:
(6) a sale of tangible personal property, a digital code, or a digital product to a nonprofit parent-teacher association located in the State if the association makes the purchase to contribute the property to a school to which a sale is exempt under item (3) of this subsection or § 11-220 of this subtitle;
(b) The sales and use tax does not apply to a sale by:
(5) an elementary or secondary school in the State or a nonprofit parent-teacher organization or other nonprofit organization within an elementary or secondary school in the State for the sale of magazine subscriptions in a fund-raising campaign, if the net proceeds are used solely for the educational benefit of the school or its students, including a sale resulting from an agreement or contract with an organization to participate in a fund-raising campaign for a percentage of the gross receipts under which students act as agents or salespersons for the organization by selling or taking orders for the sale;
(c) To qualify as an organization to which a sale is exempt under subsection (a)(3) or (5) of this section, the organization shall file an application for an exemption certificate with the Comptroller.
(d) The Comptroller may treat the possession of an effective determination letter of status under § 501(c)(3) or (13) of the Internal Revenue Code from the Internal Revenue Service as evidence that an organization qualifies under subsection (a)(3) or (5) or (1) of this section, respectively.
(e) For a sale described under subsection (b)(7) of this section that is not otherwise exempt under this section, only that part of the sale price that qualifies for a deduction under the federal income tax as a charitable contribution under the regulations and guidelines of the Internal Revenue Service is exempt from the sales and use tax under this section.
Credits
Added by Acts 1988, c. 2, § 1, eff. Jan. 1, 1989. Amended by Acts 1988, c. 110, § 1; Acts 1989, c. 676; Acts 1989, c. 733; Acts 1994, c. 664, § 1, eff. July 1, 1994; Acts 1994, c. 711, § 1, eff. July 1, 1994; Acts 1997, c. 382, § 1, eff. July 1, 1997; Acts 1997, c. 509, § 1, eff. July 1, 1997; Acts 1998, c. 612, § 1, eff. July 1, 1998; Acts 2006, c. 210, § 1, eff. July 1, 2006; Acts 2006, c. 217, § 1, eff. July 1, 2006; Acts 2006, c. 218, § 1, eff. July 1, 2006; Acts 2009, c. 506, § 1, eff. June 1, 2009; Acts 2010, c. 509, § 1, eff. July 1, 2010; Acts 2010, c. 510, § 1, eff. July 1, 2010; Acts 2012, c. 452, § 1, eff. June 1, 2012; Acts 2012, c. 453, § 1, eff. June 1, 2012; Acts 2013, c. 609, § 1, eff. July 1, 2013; Acts 2014, c. 45, § 1, eff. April 8, 2014; Acts 2017, c. 62, § 6; Acts 2021, c. 669, § 1, eff. May 30, 2021.
Formerly Art. 81, §§ 326, 375.
MD Code, Tax - General, § 11-204, MD TAX GENERAL § 11-204
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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