(a) Scope. The taxes levied by this section do not apply to:
(1) sales to or use by the United States of America except instrumentalities or agencies of the United States of America that are subject to the taxing power of the County;
(2) sales to or use by the State, its agencies, or political subdivisions; or
(3) sales to or use by a nonprofit hospital or a nonprofit religious, charitable, or educational institution or organization for use in carrying on the work of the hospital, institution, or organization.
(b) Local exchange service.
(1) In this subsection, the following words have the meanings indicated:
(i) "Combined gross income" means the combined gross income of all homeowners and all individuals actually residing in the same dwelling, except individuals whose contributions, reasonably apportionable towards the cost of upkeep, maintenance, and repair of the dwelling, are in the form of fixed rental charges.
(ii) "Gross income" includes total gross income from all sources, including gifts, and whether or not included in the definitions of gross income for federal or State income tax purposes, but the term does not include the amount of old age, survivors, or disability benefits received under the Social Security Act or under the Railroad Retirement Act.
(iii) "Homeowner" means each individual who actually resides in a dwelling in which the individual has a legal interest, including a life estate, whether as sole owner, joint tenant, tenant in common, or tenant by the entireties.
(2) The tax levied by this subsection does not apply to an individual who is at least 65 years old or to an individual who receives disability benefits as a result of a finding of permanent and total disability under the Social Security Act, Railroad Retirement Act, or any similar act adopted by the federal government, or by any state, county, or municipal government, if the combined gross income of the individual is not in excess of $8,000 for the calendar year immediately preceding the fiscal year application.
(3) There is levied a tax on sales of local exchange service for the transmission of local telecommunications originating within the limits of the County. The rate of tax is 8% on the gross sales price for business and residence local exchange telephone lines or trunks, centrex exchange access lines, and local telecommunications messages. For all other sales of local exchange service, there is no tax imposed.
(c) Gas, electricity, and steam.
(1) In this subsection, the following words have the meanings indicated:
(i) "fiscal year" means the County's fiscal year;
(ii) "meter used in a manufacturing activity" means a device that measures the delivery of gas or electricity and a majority of the gas or electricity is used for manufacturing that is exempt under the Tax-General Article, § 11-210(b), of the State Code, from a sales and use tax and for which a completed current form ST-206 is on file with the public utility distributing the gas or electricity;
(iii) "rate schedule" means a schedule defined by the Baltimore Gas and Electric Company's tariff schedules.
(2) The taxes levied by this subsection do not apply to residential use of artificial or natural gas and electricity.
(3) There is levied a tax on commercial and industrial use of artificial or natural gas, electricity, and steam delivered in the County through pipes, wires, or conduits, that is taxable to the consumer.
(4) The rate of tax on use of gas delivered by a local distribution utility operating within the County is $0.008 per therm on gas delivered to a meter used in a manufacturing activity that is on the rate schedule known as Interruptible Schedule 37 and $0.020 per therm on all other deliveries. A taxpayer for whom deliveries are made to a meter or meters used in a manufacturing activity on a rate schedule other than Interruptible Schedule 37 and who utilizes more than 200,000 therms of gas in a fiscal year that is billed under a separate utility account at a single service location may apply to the Controller, on forms provided by the Controller, within 180 days of the end of the fiscal year, for a rebate of taxes paid during the fiscal year that exceed the product of the number of therms of gas delivered in the fiscal year multiplied by a rate of $0.008 per therm.
(5) The rate of tax on use of electricity delivered by a local distribution utility operating within the County is $0.0020 per kilowatt hour on electricity delivered to a meter used in a manufacturing activity that is on rate schedule P or GLP and $0.0025 per kilowatt hour on all other deliveries. A taxpayer for whom deliveries are made to a meter or meters used in a manufacturing activity on a rate schedule other than P or GLP and who utilizes more than 3,000,000 kilowatt hours of electricity in a fiscal year that is billed under a separate utility account at a single service location may apply to the Controller, on forms provided by the Controller, within 180 days of the end of the fiscal year, for a rebate of taxes paid during the fiscal year that exceed the product of the number of kilowatt hours of electricity delivered in the fiscal year multiplied by a rate of $0.0020 per kilowatt hour. A taxpayer for whom deliveries are made to a meter or meters used in a manufacturing activity that are billed under a separate utility account at a single service location may apply to the Controller, on forms provided by the Controller, within 180 days of the end of the fiscal year, for a rebate of taxes paid in excess of $100,000 in a fiscal year.
(6) The rate of tax on use of steam is $160 on each 1,000,000 pounds of steam sold.
(d) Collection.
(1) The tax shall be collected and remitted to the County by each utility operating within the County selling or delivering within the County a taxable service or commodity to a consumer except that, if the utility does not bill the consumer for the taxable service or commodity, the tax shall be collected and remitted by the person responsible for billing the consumer for the taxable service or commodity.
(2) If a consumer receives a taxable utility service or commodity on which the tax has not been collected as required in subsection (d)(1), the consumer shall remit the tax to the County within 25 days of the succeeding calendar month in which the utility service or commodity was received.
(3) Each utility or person responsible for collecting and remitting a tax shall report and remit the tax under oath directly to the Controller on forms supplied by the Controller not later than the 25th day of the second succeeding calendar month.
(e) Inability to collect from consumer. If after a diligent effort a utility or person responsible for collecting and remitting a tax is unable to collect the tax from the consumer, the utility or other person shall make available, on request, to the Controller, the name and address of the consumer, the nature of the utility service or commodity sold, the amount paid for the utility service or commodity, and the date on which paid. On receipt of the information, the Controller shall take the necessary steps to collect the tax from the consumer.
(f) Failure to file return or remit tax. A utility, a person responsible for collecting and remitting a tax, or a consumer who fails to file a return or remit the tax levied by this section within the required time limits shall be assessed by the Controller the amount of tax due, plus interest at the rate of 1% each month and a penalty of 20% of the tax due.
(g) Rules and regulations; disputes. The Controller may adopt rules and regulations necessary to ensure the collection of the taxes levied by this section. In cases involving disputes, the Controller is the final administrative authority.
(1985 Code, Art. 6, § 7-406) (Bill No. 106-87; Bill No. 12-95; Bill No. 1-99; Bill No. 17-00; Bill No. 27-02)