§ 11-101. Definitions
West's Annotated Code of MarylandTax-GeneralEffective: May 3, 2023 to June 30, 2024
Effective: May 3, 2023 to June 30, 2024
MD Code, Tax - General, § 11-101
§ 11-101. Definitions
<Section effective until July 1, 2024. See, also, section 11-101 effective July 1, 2024.>
(a-2)(1) “Accommodations intermediary” means a person, other than an accommodations provider, who facilitates the sale or use of an accommodation and charges a buyer the taxable price for the accommodation.
(a-3) “Accommodations provider” means a person that owns, operates, or manages an accommodation and makes the accommodation available for sale or use to a buyer.
(a-4) “Booking transaction” means any transaction in which there is a retail sale of an accommodation.
(b) “Buyer” means a person who:
(c) “Cleaning of a commercial or industrial building” means the following services performed to a commercial or industrial building:
(c-1) “Customer tax address” means, with respect to a sale of a digital code or digital product:
(4) if items (1) through (3) of this subsection are not applicable, the location indicated by an address for the buyer that is available from the business records of the vendor that are maintained in the ordinary course of business of the vendor's business, when use of the address does not constitute bad faith;
(6) if items (1) through (5) of this subsection are not applicable, including a circumstance in which a vendor is without sufficient information to apply those items, one of the following locations, as selected by the vendor, provided that the location is consistently used by the vendor for all sales to which this item applies:
(c-2) “Detective” means a person who is authorized to provide private detective services under Title 13 of the Business Occupations and Professions Article.
(c-3)(1) “Digital code” means a number, symbol, alphanumeric sequence, barcode, or similar code that:
(c-4)(1) “Digital product” means a product that is obtained electronically by the buyer or delivered by means other than tangible storage media through the use of technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities.
(iii) a series of related images that, when shown in succession, impart an impression of motion, together with any accompanying sounds that are transferred electronically, including motion pictures, musical videos, news and entertainment programs, live events, video greeting cards sent by e-mail, and video or electronic games;
(v) a product having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities where the purchaser holds a copyright or other intellectual property interest in the product, in whole or in part, if the purchaser uses the product solely for commercial purposes, including advertising or other marketing activities; or
(vi) computer software or software as a service purchased or licensed solely for commercial purposes in an enterprise computer system, including operating programs or application software for the exclusive use of the enterprise software system, that is housed or maintained by the purchaser or on a cloud server, whether hosted by the purchaser, the software vendor, or a third party.
(c-5)(1) “End user” means any person who receives or accesses a digital code or digital product code for use.
(c-6)(1) “Marketplace facilitator” means a person that:
(c-7) “Marketplace seller” means a person that makes a retail sale or sale for use through a physical or electronic marketplace operated by a marketplace facilitator.
(d) “Person” includes:
(e) “Prepaid telephone calling arrangement” means the right to use telecommunications services, paid for in advance, that enables the origination of calls using an access number or authorization code, whether manually or electronically dialed.
(e-1)(1) “Primary use location” means the street address representative of where the buyer's use of a digital code or digital product will primarily occur, as determined by:
(f)(1) “Production activity” means:
(v) establishing or maintaining clean rooms or clean zones as required by applicable provisions of the Federal Food, Drug, and Cosmetic Act,1 the Public Health Service Act,2 and the Virus-Serum-Toxin Act,3 and the regulations adopted thereunder, pertaining to the manufacture of drugs, medical devices, or biologics;
(ii) maintaining tangible personal property other than textile products for rental and production machinery and equipment, except for maintaining tangible personal property in providing the taxable service of commercial cleaning or laundering of textiles for a buyer who is engaged in a business that requires the recurring service of commercial cleaning or laundering of the textiles;
(g) “Production machinery or equipment” means machinery or equipment used in a production activity.
(h)(1) “Retail sale” means the sale of:
(i)(1) “Sale” means a transaction for a consideration whereby:
(j) “Sale for use” means a sale in which tangible personal property, a digital code, a digital product, or a taxable service that is consumed, possessed, stored, or used in the State is acquired.
(j-1) “Short-term rental” means the temporary use of a short-term rental unit to provide accommodation to transient guests for lodging purposes in exchange for consideration.
(j-2) “Short-term rental platform” means an Internet-based digital entity that:
(j-3)(1) “Short-term rental unit” means a residential dwelling unit or a portion of the unit used for short-term rentals.
(j-4) “Subscription” means, with respect to a digital product, an arrangement with a vendor that grants a buyer the right to obtain digital products from within one or more product categories having the same tax treatment, in a fixed quantity or for a fixed period of time or both.
(k)(1) “Tangible personal property” means:
(l)(1) “Taxable price” means the value, in money, of the consideration of any kind that is paid, delivered, payable, or deliverable by a buyer to a vendor in the consummation and complete performance of a sale without deduction for any expense or cost, including the cost of:
(2) “Taxable price” includes, for tangible personal property, a digital code, or a digital product acquired by a sale for use in the State by the person who assembles, fabricates, or manufactures the property or digital product, only the price of the raw materials and component parts contained in the property or digital product.
(iii) a charge for a nontaxable service that is made in connection with a sale of a taxable communication service, even if the nontaxable charges are aggregated with and not separately stated from the taxable charges for communications services, if the vendor can reasonably identify charges not subject to tax from its books and records that are kept in the regular course of business.
(5) “Taxable price” includes, for the sale or use of an accommodation facilitated by an accommodations intermediary or a short-term rental platform, the full amount of the consideration paid by a buyer for the sale or use of an accommodation, but not including any tax that is remitted to a taxing authority.
(m) “Taxable service” means:
(m-1)(1) “Telephone answering service” means a service provided to a customer that consists exclusively of the taking of messages, either by an automated system or by a live operator, and transmitting the messages to the customer.
(n)(1) “Use” means an exercise of a right or power to use, consume, possess, or store that is acquired by a sale for use of:
(o)(1) “Vendor” means a person who:
Credits
Added by Acts 1988, c. 2, § 1, eff. Jan. 1, 1989. Amended by Acts 1989, c. 356; Acts 1990, c. 681; Acts 1992, 1st Sp. Sess., c. 1, § 2; Acts 1993, c. 5, § 1; Acts 1993, c. 254; Acts 1993, c. 589; Acts 1994, c. 685, §§ 1, 2, eff. Jan. 1, 1995; Acts 1994, c. 690, § 1, eff. Jan. 1, 1995; Acts 1996, c. 10, § 1, eff. April 9, 1996; Acts 1997, c. 4, § 3, eff. July 1, 2000; Acts 1998, c. 706, § 1, eff. July 1, 1999; Acts 1999, c. 5, § 1, eff. Jan. 1, 2000; Acts 1999, c. 6, § 1, eff. Jan. 1, 2000; Acts 1999, c. 688, § 1, eff. Jan. 1, 2000; Acts 2000, c. 61, § 1, eff. April 25, 2000; Acts 2002, c. 513, § 1, eff. July 1, 2002; Acts 2006, c. 385, § 1, eff. July 1, 2006; Acts 2007, 1st Sp. Sess., c. 3, § 3, eff. July 1, 2008; Acts 2008, c. 10, § 3, eff. July 1, 2008; Acts 2012, c. 86, § 1, eff. July 1, 2012; Acts 2012, c. 87, § 1, eff. July 1, 2012; Acts 2016, c. 3, § 1, eff. Feb. 20, 2016; Acts 2016, c. 228, § 1, eff. July 1, 2016; Acts 2017, c. 230, § 1, eff. July 1, 2017; Acts 2018, c. 852, § 3, eff. July 1, 2018; Acts 2019, c. 292, § 1, eff. April 30, 2019; Acts 2019, c. 293, § 1, eff. April 30, 2019; Acts 2019, c. 704, § 1, eff. June 1, 2019; Acts 2019, c. 735, § 1, eff. Oct. 1, 2019; Acts 2019, c. 758, § 1, eff. June 1, 2019; Acts 2021, c. 38, § 1, eff. March 14, 2021; Acts 2021, c. 669, § 1, eff. May 30, 2021; Acts 2021, 1st Sp. Sess., c. 9, § 2, eff. Jan. 5, 2022; Acts 2022, c. 534, § 1, eff. July 1, 2022; Acts 2022, c. 535, § 1, eff. July 1, 2022; Acts 2023, c. 49, § 6.
MD Code, Tax - General, § 11-101, MD TAX GENERAL § 11-101
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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