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Beginning on the date of finality of January 1, 1965, all personal property of every description in the county used entirely or chiefly in manufacturing, including mechanical tools, or implements, whether worked by hand or steam or other motive power, machinery, manufacturing apparatus or engines, are hereby exempt from all county personal property taxes, and all farm implements or apparatus are also hereby exempt from county personal property taxes. (Mont. Co. Code 1965, § 84-8; 2016 L.M.C., ch. 7, § 2.)
Editor’s note—Former Section 52-11D, enacted by 2017 L.M.C., ch. 5, § 1, was correctly renumbered and reorganized to Section 52-111 by 2017 L.M.C., ch. 12, §1.
The county council for Montgomery County is empowered and authorized to levy and impose by resolution, ordinance or public local law a special revenue tax on every trailer coach park owned by a person licensed to operate and conduct a trailer coach park in Montgomery County, under existing laws and regulations pertaining thereto; and the same person shall pay a monthly tax to be computed at the rate of not more than six dollars ($6.00) per month, as determined by the council, multiplied by the number of spaces which, on the first day of each month, in each licensed trailer coach park are in actual use and operation for occupancy by any trailer coach designed for dwelling and sleeping purposes.
Any person liable for the taxes imposed under the authority of this section who: (a) willfully fails to pay such taxes; or (b) willfully fails to file any return required; or (c) willfully makes any false statement or misleading omission in any return filed as required; or (d) violates the provisions of any resolution, or ordinance or law adopted under the authority of this section shall be subject to punishment for a class A violation as set forth in section 1-19 of chapter 1 of the County Code. (Mont. Co. Code 1965, § 2-128; 1961, ch. 488, § 1; 1983 L.M.C., ch. 22, § 56.)
(a) Authority to impose tax; purpose. The county council is empowered and authorized to levy and impose by resolution a revenue tax on all assessable property in the county to create a special fund to be used to plan, develop, finance and cause to be operated improved transit facilities located in the county, necessary or useful in rendering transit service between points in the county, by means of rail, bus, water or air and any other mode of travel, including without limitation, tracks, rights-of-way, bridges, tunnels, subways, rolling stock for rail, motor vehicles, marine and air transportation, stations, terminals and ports, areas for parking and all equipment, fixtures, buildings and structures and services incidental to, or required in connection with the performance of transit services.
(b) Rate of tax. The rate or amount of tax shall be no less than three cents ($0.03) per one hundred dollars ($100.00) of assessed value of all assessable property within the county.
(c) Payment of proceeds into special fund; disbursements. The director of finance shall pay into a special fund in the treasury all taxes, penalties and interest collected and received by him pursuant to this section. Such proceeds shall be disbursed upon the warrant of the director only for the purposes set out in subsection (a) above or for any of the purposes set forth in chapter 870 of the Laws of Maryland 1965, as amended, including the county's obligation to the Washington Suburban Transit District under any contract or agreement between such district and the Washington Metropolitan Area Transit Authority but excluding any appropriations required to meet the administrative expenses of the district pursuant to section 15 of Chapter 870, Laws of Maryland 1965. (1967 L.M.C., Ex. Sess., ch. 4, § 1.)
Cross reference-Transit facilities, ch. 54A.
State law reference-Washington Metropolitan Area Transit Authority generally, Ann. Code of Md., Transportation article, §§ 10-202 to 10-204.
(a) (1) A tax is levied and imposed on every person transmitting, distributing, manufacturing, producing, or supplying electricity, gas, steam, coal, fuel oil, or liquefied petroleum gas in the County.
(2) The County Council must set the rates for various forms of fuel and energy by a resolution adopted under Section 52-17(c). The Council may, from time to time, revise, amend, increase, or decrease the rates, including setting different rates for fuel or energy delivered for different categories of final consumption, such as residential or agricultural use. Each rate must be based on a weight or other unit of measure regularly used in the conduct of business. The rate for each form of fuel or energy should impose an equal or substantially equal tax on the equivalent energy content of each form of fuel or energy for a particular category of use.
(3) The tax does not apply to the transmission or distribution of electricity, gas, steam, coal, fuel oil, or liquefied petroleum gas in interstate commerce through the County if the tax would exceed the taxing power of the County under the United States Constitution. The tax does not apply to fuel or energy converted to another form of energy that will be subject to a tax under this Section. The tax must not be imposed at more than one point in the transmission, distribution, manufacture, production, or supply system. The rates of tax apply to the quantities measured at the point of delivery for final consumption in the County. For an electric company (as defined in state law), the rates of tax apply to the net consumption that is used to calculate each consumer bill.
(4) The tax does not apply to energy that is generated from a renewable source located:
(A) in the County and either used on the site where it is generated or subject to a net energy metering agreement (as defined in state law) with a public utility; or
(B) in the same electric service territory in Maryland as the subscriber using the energy and subject to a virtual net energy metering agreement (as defined in state law) with a public utility.
Renewable source means a “Tier 1 renewable source” as defined in Section 7-701(l) of the Public Utilities Article of the Maryland Code or any successor provision.
(b)
Person
as used in this Section means any individual or legal entity, and includes any corporation, company, association, firm, partnership, group of individuals acting as a unit, trustee, receiver, assignee or personal representative. Director in this Section means the Director of Finance or the Director’s designee.
(c) Every person who transmits, distributes, manufactures, produces, or supplies fuel or energy in the County must pay the tax and report any information required by the Director for each calendar month on or before the last day of the following month. With the written permission of the Director, a person who regularly owes taxes under this Section may pay the tax and make reports on a quarterly basis, on or before the 15th day of April, July, October, and January in each year for the preceding 3 months.
(d) If any person does not pay the tax due under this Section or file a proper return to the Director by the time and in the amount required, that person is liable for interest on the amount of tax due at the rate of ½ of one percent per month on the amount of the tax for each month or part of a month after the tax is due, and a penalty of 10 percent of the amount of the tax. Any interest and penalty due may be collected as a part of the tax.
(e) If any person does not timely file any report and pay the tax required under this Section, the Director may use any available information to estimate the tax due. As soon as the Director obtains available information on which to base the calculation of any tax payable by any person who has not timely filed any report and paid the tax, the Director may assess against that person any tax, interest, and penalties due and must notify that person of the total amount due by regular mail sent to the person’s last known address. The total amount assessed is due and payable within 10 days after the notice is sent.
(f) Every person liable for any tax under this Section must preserve, for 2 years, any records necessary to calculate the amount of tax due, which the Director may inspect at any reasonable time.
(g) If any person required to pay a tax under this Section stops doing business or otherwise transfers ownership or control of the business, any tax payable under this Section is immediately due, and the person must immediately file a report and pay any tax due.
(h) The Director may adopt a regulation, by Method 2, to assess, collect, audit, and otherwise administer the tax imposed by this Section. If the Council by resolution establishes different rates for different categories of fuel-energy use, the regulations may specify how the Director will determine whether a taxpayer qualifies under the resolution for any rate that is less than the maximum rate.
(i) Any violation of this Section is a class A violation. Each violation is a separate offense. Any conviction does not relieve any person from paying any tax due.
(j) The Council must appropriate 10% of the revenue received by the County from the fuel-energy tax each year to the nonprofit corporation designated as the Montgomery County Green Bank under Section 18A-46.
(k) Any funds which under this section are given to the nonprofit corporation designated as the Montgomery County Green Bank under Section 18A-46 must only be used to promote the investment in clean energy technologies and to provide financing for clean energy technologies, including renewable energy and energy efficiency projects and must not be used for resiliency activities.
(1971 L.M.C., ch. 52, § 1; Res. No. 8-238; 1983 L.M.C., ch. 22, § 56; 2003 L.M.C., ch. 28, § 1; Res. No. 15-412; 2014 L.M.C., ch. 1, § 1; 2014 L.M.C., ch. 24, § 1; 2017 L.M.C., ch. 15, §1; 2022 L.M.C., ch. 2, §1; 2023 L.M.C., ch. 27, § 1.)
Editor’s note—2022 L.M.C., ch. 2, §2, states: Sec. 2. Effective date; report. The amendments in Section 1 take effect on July 1, 2022. The Director of the Department of Environmental Protection must submit a report to the Council and the Executive on or before May 1, 2023 estimating the cost of converting fossil fuel mechanical energy equipment to electric power.
2014 L.M.C., ch. 24, § 2, states in part: (b) This Act applies to energy delivered before or after this Act takes effect.
(a) (1) A person who owns a telephone line for the reception, transmission or communication of messages by telephone, or leases, licenses, or sells telephonic communication in the County must pay a tax on the following services furnished to customers with a billing address or fixed service address in the County:
(A) each residence, business, or PBX local exchange access line or trunk line (except telephone lifeline service customers);
(B) each wireless telephone line; and
(C) each Centrex local exchange access line or trunk line.
(2) The Council must by resolution adopted after advertisement and public hearing in accordance with Section 52-17(c) set the monthly tax rate for each type of line listed in paragraph (1). A person subject to the tax imposed under this section must pay a tax equal to the sum of each line multiplied by the tax rate for that line.
(b) In this section:
(1) Line means a connection to the local telephone exchange through a unique telephone number.
(2) Person means any individual, corporation, company, association, firm, or co- partnership, or any group of individuals acting as a unit, and includes any trustee, receiver, assignee or personal representative.
(3) Wireless telephone means any equipment or instrument that transmits:
(A) cellular telephone service;
(B) personal communication service; or
(C) any other commercial mobile radio service as defined by the Federal Communications Commission.
(c) Every person liable for the tax must pay the tax and must report upon such forms and set forth such information as the director of finance may prescribe. The report and payment of the tax must be made on or before the fifteenth day of each month, covering the immediate preceding calendar month. Any person liable for the tax may, upon written application to and with the consent of the Director of Finance, make reports and remittances on a quarterly basis instead of the monthly basis. Quarterly reports and remittance must be made on or before the fifteenth day of April, July, October and January in each year, and must cover the three (3) immediately preceding months.
(d) If any person fails or refuses to remit the tax required to be paid or to make a proper return to the director of finance, within the time and in the amount specified, that person is liable for:
(1) Interest on the amount of tax due at the rate of one (1) percent per month for each month or part of a month after the date upon which the tax is due; and
(2) A penalty of five (5) percent of the amount of the tax per month or part of a month, not to exceed a total of twenty-five (25) percent of the tax. The interest and penalty is collected as a part of the tax.
(e) If any person fails or refuses to make any report and remittance required within the time provided, the Director of Finance must obtain information on which to base the Director's estimate of the tax due. As soon as the Director obtains sufficient information upon which to base the assessment of any tax due, the Director must assess against the person the tax and penalties. The Director must notify the person by mail sent to the person's last-known place of address of the total amount of the tax, interest and penalties. The total amount is payable within ten (10) days after the date of the notice.
(f) Every person liable for the payment of any tax must keep and preserve, for two (2) years, suitable records necessary to determine the amount of the tax as that person may have been liable for to the County. The Director of Finance may inspect the records at all reasonable times.
(g) Whenever any person subject to tax stops doing business or otherwise disposes of the business, any tax payable to the County is immediately due and payable and the person must immediately make a report and pay any tax due.
(h) A person is entitled to a refund, under procedures in State law, of the tax paid on any wireless telephone line billed to an address in the County for wireless telephone service that is not available in the County.
(i) Any violation or failure to comply with this section is a class A violation. Each violation is a separate offense. A conviction does not relieve any person from the payment, collection or remittance of the tax. (1971 L.M.C., ch. 51, §§ 1, 2; Res. No. 8-239; 1983 L.M.C., ch. 22, § 56; 1989 L.M.C., ch. 18, § 1; Res. No. 12-193; 1996 L.M.C., ch. 17, § 2.)
Editor's note-Section 1 of 1989 L.M.C., ch. 18, amended § 52-15 in its entirety. Section 2 of the act reads as follows: Sec. 2. Rate of Tax. The rate of the tax levied under section 52-15 from January 1, 1984 until the effective date of this act [January 23, 1989] is 62 cents per month on each residence, business or PBX local exchange access line or trunk line furnished to customers within the County, and 6.2 cents per month on each Centrex local exchange access line or trunk line furnished to customers within the County.
Resolution No. 12-193, adopted May 8, 1991, effective May 1, 1991, amended the rates of the telephone tax levied under Section 52-15 as follows: $1.25 per month on each residence, business or PBX local exchange access line or trunk line furnished to customers (except telephone lifeline services customers) in the County; and 12.5 cents per month on each Centrex local exchange access line or trunk line furnished to customers in the County. This resolution expired on June 30, 1995.
(a) (1) The Director of Finance must impose on each transient a tax at the rate of 7 percent of the total amount paid for room rental, by or for the transient, for sleeping accommodations in any hotel or motel that is located in the County.
(2) The County Council by resolution, after a public hearing advertised under Section 52-17(c), may increase or decrease the rate of this tax.
(b) The following words and phrases, when used in this Section, have the following meanings:
Broker means a person, other than the owner or operator of a hotel or motel, that receives, facilitates or arranges payment, directly, indirectly, or through an online platform, for hotel or motel accommodations from a transient who is subject to the tax under subsection (a).
Director means the Director of Finance or the Director’s designee.
Hotel or motel means any hotel, inn, hostelry, tourist home or house, motel, apartment hotel, rooming house, dwelling unit or other lodging place that offers for compensation sleeping accommodations in the County. A hotel or motel does not include:
(1) a hospital, medical clinic, nursing home, rest home, convalescent home, assisted living facility, or home for elderly individuals; or
(2) a facility owned or leased by an organization that is exempt from taxation under section 501(c)(3) of the Internal Revenue Code if the primary use of the facility is other than housing overnight guests.
Hotelkeeper means a person that:
(1) owns or operates a hotel or motel; or
(2) acts as a broker.
Room rental means the total charge required to be paid by a transient for a sleeping accommodation. Room rental includes any service fee, broker’s fee, or other charge or fee required to be paid by the transient regardless of what the charge is called or how the charge is designated. Room rental does not include any optional charge for services in addition to the charge for the use of sleeping space, such as Wi-Fi access, food, beverage, movie rental, or fitness center access. The portion of the total charge, if any, that represents a charge other than room rental must be separately billed.
Transient means an individual who, for any period of 30 or fewer consecutive days, actually occupies a sleeping accommodation.
(c) Every hotelkeeper that receives any payment for a room rental that is subject to a tax under this Section must collect the amount of tax imposed under subsection (a) when payment for the room rental is made. The hotelkeeper must hold the taxes required to be collected by this Section in trust for the County until remitted as required by this Section.
(d) (1) Each hotelkeeper must file a report on a form supplied by the Director. The form must show the amount of room rental payments collected, the amount of tax required by this Section to be collected, and any other information the Director requires to assure that the proper tax has been remitted to the County.
(2) Unless the Director accepts a quarterly report, each hotelkeeper must file a report on or before the last day of each month showing all room rentals during the preceding month.
(3) If a hotelkeeper requests, the Director may, in the Director’s sole discretion, accept a quarterly report showing all room rentals during the 3 months immediately before the month when the report is due. Each hotelkeeper so approved must file a quarterly report on or before the last day of April, July, October, and January.
(4) Each hotelkeeper must remit the full amount of tax due with each report
(e) If any hotelkeeper does not remit to the Director the tax required to be paid by this Section, or does not file a timely report to the Director, the Director must add to the tax due:
(1) interest at the rate of one percent per month on the amount of the tax for each month or part of a month after the tax is due until the tax is paid and the report is files; and
(2) a penalty of 5 percent of the amount of the tax per month or part of a month, not to exceed a total of 25 percent of the tax, until the tax is paid and the report filed.
(f) (1) If a hotelkeeper does not file a required report by the deadline established under subsection (d), the Director may estimate the amount of tax due. The Director may base the estimate on a reasonable projection of room rentals, and may consider rentals reported by other hotelkeepers.
(2) The Director must send a notice of the estimated tax due, including interest and penalty, to the hotelkeeper’s last known address. The hotelkeeper must pay the estimated tax, including any interest and penalty, assessed by the Director within 10 days after the notice is sent.
(g) (1) Each hotelkeeper must preserve, for 3 years, all records necessary to determine the amount of the tax due under this Section.
(2) The Director may inspect any records required to be kept under this Section at any reasonable time.
(h) If a hotel or motel stops doing business or a hotelkeeper disposes of its business, the hotelkeeper must immediately file a report under subsection (d) and pay any tax due.
(i) Each hotelkeeper or transient that does not comply with any provision of this Section has committed a class A violation. A finding of violation under this subsection does not relieve any hotelkeeper or transient of any tax, including any applicable interest or penalty, due under this Section.
(j) At least 7% of the revenue from the tax levied under this Section must be used for the Conference and Visitors Bureau, Inc., as designated by the Council in a budget resolution to promote travel to the County. The County Executive must report to the Council on the use of these funds by March 15 each year. (1975 L.M.C., ch. 38, § 1; 1983 L.M.C., ch. 22, § 56; 1984 L.M.C., ch. 38, § 1; 1987 L.M.C., § 24, § 1; CY 1991 L.M.C., ch. 11, §§ 1 and 4; CY 1991 L.M.C., ch. 25, § 1; 1994 L.M.C., ch. 7, § 1; Council Resolution No. 13-524; 2009 L.M.C., ch. 14, § 1; 2013 L.M.C., ch. 6, § 1; 2015 L.M.C., ch. 25, § 1; 2016 L.M.C., ch. 14, § 1.)
Editor's note— The U.S. Court of Appeals upheld the constitutionality of this statute in United States v. Montgomery County, 761 F.2d 998 (4th Cir. 1985).
See County Attorney Opinion dated 6/17/04-B describing the procedures for approving a tax rate change for admissions and amusements.
1984 L.M.C., ch. 38, § 3 provides as follows: Sec. 3. This Act shall apply to:
(a) All taxes paid within three years prior to the effective date of this Act.
(b) All taxes due and/or assessable for periods within four years prior to the effective date of this Act.
(c) All taxes due, payable, billed or assessed where legal action has been instituted and is pending on the effective date of this Act.
(a) As authorized by Section 4-102(a)(1) of the Tax-General Article of the Maryland Code, a tax is imposed at a rate set by resolution adopted by the Council and approved by the Executive on the gross receipts derived from any admissions and amusement charge as defined in Section 4-101(b) of the Tax-General Article except to the extent this rate is limited by Section 4-105(b) of the Tax-General Article. If the Executive disapproves a resolution within 10 days after it is adopted and the Council readopts it by a vote of six Councilmembers, or if the Executive does not act within 10 days after the Council adopts it, the resolution takes effect.
(b) In addition to the exemptions listed in Section 4-103 of the Tax-General Article, the following gross receipts are exempt from this tax:
(1) gross receipts used exclusively for community or civic improvement by a not for profit community association as defined by Section 4-104(a) of the Tax-General Article;
(2) gross receipts from any charge for admission to a concert or theatrical event of a not for profit organization organized to present or offer any of the performing arts as defined by Section 4-104(b) of the Tax-General Article;
(3) gross receipts from any admissions and amusement charge by the County Board of Education or Montgomery College, or by any County, bi-county, or municipal government agency, including the Revenue Authority and the Maryland-National Capital Park and Planning Commission;
(4) gross receipts from any admissions and amusement charge levied by an arts and entertainment enterprise or qualifying residing artist in an arts and entertainment district designated under state law;
(5) gross receipts from any public daily fee golf course for which admission or a playing fee is charged; and
(6) gross receipts from any activity related to agricultural tourism for which admission is charged. Agricultural tourism means the act of visiting a farm, vineyard, winery, or orchard for entertainment, education, or participation in agricultural activities. Agricultural tourism does not include any activity at a County fair.
(c) Revenue from the admissions and amusement tax set at a rate of 7 percent or less may be used for General Fund purposes. Additional revenue generated from levying the tax at a higher rate must be used to support, encourage, and promote arts and humanities in the County, including projects, performances, historic and heritage preservation, and other activities that advance the artistic, cultural, and intellectual environment in the County. The Council must decide in the annual operating budget how these funds are administered. (Res. No. 7-832; Res. No. 7-1079; Res. No. 8-237; Res. No. 8-1975; Res. No. 12-431; 1999 L.M.C., ch. 8, § 1; 2002 L.M.C., ch. 1, § 1; 2004 L.M.C., ch. 7; 2007 L.M.C., ch. 9, § 1.)
Editor's note—Section 52-16A is cited in Comptroller of the Treasury v. Clyde's of Chevy Chase, 377 Md. 471, 833 A.2d 1014 (2003). In Twinbrook Swimming Pool Corp. v. Comptroller of the Treasury, Admissions Tax Division, 274 Md. 88, 333 A.2d 49 (1979), it was held that where a fee paid which is not related to the use of a swimming pool, i.e. where the same fee is paid regardless of the frequency of the use of the pool, is not subject to the above tax.
(a) Rates. The rates and the allocations of the recordation tax, levied under Md. Tax- Property Code §§12-101 to 12-118, as amended, are:
(1) for each $500 or fraction of $500 of consideration payable or of the principal amount of the debt secured for an instrument of writing, including the amount of any mortgage or deed of trust assumed by a grantee;
(A) $2.08, of which the net revenue must be reserved for and allocated to the County general fund; and
(B) $2.37, of which the net revenue must be reserved for and allocated to the cost of capital improvements to public schools; and
(2) if the consideration payable or principal amount of debt secured;
(A) exceeds $500,000 and is less than or equal to $600,000, an additional $2.30 for each $500 or fraction of $500 of the amount over $500,000; and
(B) exceeds $600,000 and less than or equal to $750,000, an additional $5.75 for each $500 or fraction of $500 of the amount over $600,000; and
(C) exceeds $750,000 and less than or equal to $1,000,000, an additional $6.33 for each $500 or fraction of $500 of the amount over $750,000; and
(D) exceeds $1,000,000, an additional $6.90 for each $500 or fraction of $500 of the amount over $1,000,000
(3) Allocation of revenue collected. The net revenue collected under paragraph (2) must be reserved for and allocated as follows:
(A) one-third for the cost of County government capital improvements; and
(B) one-third for rent assistance for low and moderate income households, which must not be used to supplant any otherwise available funds; and
(C) one-third for the cost of capital improvements for public schools.
(b) Exemption. The first $100,000 of the consideration payable on the conveyance of any owner-occupied residential property is exempt from the recordation tax if the buyer of that property is an individual and intends to use the property as the buyer’s principal residence by actually occupying the residence for at least 7 months of the 12-month period immediately after the property is conveyed. (2002 L.M.C., ch. 9, § 1; 2007 L.M.C., ch. 17, § 1; 2016 L.M.C., ch. 19, § 1; 2023 L.M.C., ch. 15, § 1.)
Editor’s note—2023 L.M.C., ch. 15, § 2, states: Effective date. This Act takes effect on October 1, 2023, and must apply to any transaction which occurs on or after October 1, 2023.
2016 L.M.C., ch. 19, § 2, states: The allocation of recordation tax revenue made in Section 1 replaces each allocation of recordation tax revenue established in previously enacted uncodified legislation.
2007 L.M.C., ch. 17, § 2, states: This Act takes effect on March 1, 2008, and applies to any transaction which occurs on or after that date.
2007 L.M.C., ch. 17, § 3, amended by 2009 L.M.C., ch. 17, § 1, further amended by 2010 L.M.C., ch. 19, § 1, and further amended by 2011 L.M.C., ch. 8, § 1, states: Allocation of Revenue. During any fiscal year that begins on or after July 1, 2012, the net revenue attributable to the increase in the rate of the recordation tax enacted in this Act must be reserved for and allocated equally to:
(a) the cost of County government capital improvements; and
(b) rental assistance programs for low- and moderate-income households, which must not be used to supplant any otherwise available funds.
2002 L.M.C., ch. 9, § 3, states:
Sec. 3. Effect of Previous Actions. Effective July 1, 2002, this Act supersedes Resolution No. 7-182. Any action taken under that resolution before that date, including the levy and collection of the recordation tax, is ratified and confirmed as if that action had been taken under authority of a law enacted by the County Council.
2002 L.M.C., ch. 9, § 4, amended by 2003 L.M.C., ch. 21, § 1, further amended by 2003 L.M.C., ch. 33, § 1, and further amended by 2010 L.M.C., ch. 19, § 2, states:
Sec. 4. Allocation of Revenue. During any fiscal year that begins on or after July 1, 2004, except a fiscal year that begins on July 1, 2010, the net revenue attributable to the increase in the rate of the recordation tax enacted in this Act must be reserved for and allocated to the cost of capital improvements to schools and educational technology for Montgomery College in the form of debt service for debt-eligible projects and current revenue for debt-eligible or non-debt-eligible projects.
Former Section 52-16B, relating to a beverage container tax, was repealed by §§ 1 and 2 of 1994 L.M.C., ch. 21. The section was derived from 1976 L.M.C., ch. 22, § 1; 1976 L.M.C., ch. 43, § 2; 1977 L.M.C., ch. 4, § 1; 1978 L.M.C., ch. 8, § 1; 1983 L.M.C., ch. 22, § 56; 1984 L.M.C., ch. 24, § 50; 1984 L.M.C., ch. 27, § 33; and CY 1991 L.M.C., ch. 10, § 1.
Editor’s note—Former Section 52-16C, Real property tax recapture, derived from 1977 L.M.C., ch. 41, § 1, was repealed by 2010 L.M.C., ch. 49, § 1, after it was ruled invalid in Montgomery County Board of Realtors v. Montgomery County, 287 Md. 101, 411 A.2d 97 (1980).
(a) Generally. The County Council for Montgomery County is hereby empowered and authorized to have and exercise, within the limits of the County, in addition to any and all taxing powers heretofore granted by the General Assembly, the power to tax to the same extent as the state has or could exercise said power within the limits of the County as a part of its general taxing power, which includes the power to impose and provide for the collection of development impact taxes for financing, in whole or in part, the capital costs of additional or expanded public transportation facilities required to accommodate new construction or development; and to provide by resolution for the imposition, assessment, levy and collection of any tax or taxes authorized by this Section; and from time to time to grant exemptions and to modify or repeal existing or future exemptions.
(b) Exceptions. Provided, that the Council shall not have the power to impose any tax upon any alcoholic beverages, intangible personal property or upon the subject matter of Annotated Code of Maryland, 1957, Sections 135 to 157 of Article 56 (Gasoline Tax); Sections 3-601.1, 3-801 to 3-824, 11-706, 14-112 of Article 66 1/2 (Motor Vehicle Registration); Section 3-831 of Article 66 1/2 (Titling Tax); Sections 181 to 190 of Article 56 and Section 273 of Article 81 (Motor Vehicle Taxation); Section 9(32) of Article 81 (Class A and Class D Motor Vehicles); Sections 279 to 323 of Article 81 (Tax on Incomes); Article 78B (Horseracing and Pari-mutuel Betting); Sections 194 and 195 of Article 81 (Bonus Tax); Sections 197 to 201 of Article 81 (Tax on Franchise to a Corporation); Sections 129 and 130 of Article 23 (Recording Corporate Papers); Section 128 of Article 81 (Deposits of Savings Banks); Sections 135 to 143 of Article 81 (Insurance Premiums); Sections 149 to 193 of Article 81 (Inheritances); Article 62A (Estate Tax); or Section 144 of Article 81 (Tax on Commissions of Executors and Administrators); or Sections 431 to 464 of Article 81 (State Tobacco Tax Act) or Sections 12-A and 12-B of Article 81 (Sales Tax and Gross Receipt Tax on Advertising, etc.) to the extent applicable; or any other tax prohibited to a political subdivision of this state by any applicable statewide law; nothing in this Section shall be construed to authorize the County to impose a tax upon the gross receipts of any person in the County; provided, however, that the County in taxing the receipts, from motor vehicle operations, may only tax receipts from operations of motor vehicles having a permit from the Public Service Commission of Maryland authorizing both the taking on and discharging of passengers at more than one point within the County and/or the transportation of passengers between 2 or more points within the County.
(c) Advertisement required. On or after June 1, 1963, no tax shall be levied or imposed by the County pursuant to any of the provisions of this Section unless the levy or imposition of the tax is advertised for 3 consecutive weeks in 2 newspapers having a general circulation in the County. After such advertising a public hearing shall be held concerning the levy and imposition of such tax. The provisions of this Section shall not apply to any tax levied and imposed prior to June 1, 1963.
(d) (1) From the revenues derived from any hotel and motel room rental tax imposed by the County, the County shall distribute 50% of the revenue attributable to a hotel or motel located in a municipal corporation or in a special taxing district created by the General Assembly to the Municipal Corporation or special taxing district.
(2) Paragraph (1) of this subsection shall apply only to tax revenues generated from hotels and motels located in any area that is added to the County by an alteration of the boundary line between Montgomery County and any other County after July 1, 1995.
(e) The Council may not impose a tax on the sale of a right to occupy a room or lodgings as a transient guest at a dormitory or other lodging facility that:
(1) is operated solely in support of the headquarters, a training facility, a conference facility, an awards facility, or the campus of a corporation or other organization;
(2) provides lodging solely for employees, contractors, vendors, and other invitees of the corporation that owns the dormitory or lodging facility; and
(3) does not offer lodging services to the general public. (Mont. Co. Code 1965, §2-129; 1963, ch. 808, § 1; 1990, ch. 707, § 1; 1995, ch. 55, § 1; 2013, ch. 510, §1.)
Editor's note—In GenOn Mid-Atlantic v. Montgomery County, 650 F.3d 1021 (2011), the Court cited Section 52-17 in declaring the carbon emissions tax in Sec. 52-96 to be a regulatory fee.
In Montgomery County v. Maryland Soft Drink Ass’n., Inc., 281 Md. 116, 377 A.2d 486 (1977), the court upheld the constitutionality of the Maryland General Assembly's grant to the County (codified in § 52-17) of the broad power to impose excise taxes (non-property taxes) in addition to the power of chartered counties to impose property taxes set forth in the Express Powers Act, Md. Code Ann., Art. 25A, § 5(O). The same broad taxing power was granted by the General Assembly to Baltimore City and Baltimore County and this was confirmed in Hampton Associates v. Baltimore County, 66 Md. App. 551, 558, 505 A.2d 537 (1986), cert. denied, 307 Md. 406, 514 A.2d 24 (1986), Kimball-Tyler v. Balto. City, 214 Md. 86, 92, 96, 133 A.2d 433 (1957), State Tax Commission v. Armco, 226 Md. 533, 544-545, 174 A.2d 327 (1961). The Maryland appellate court held that the County Council had the authority to impose the development impact tax under ch. 808, Laws of 1963, codified in §§ 52-47 through 52-59 of the County Code, in Montgomery County v. Waters Landing Limited Partnership, 99 Md. App. 1, 635 A.2d 48, aff’d., 337 Md. 15, 650 A2d 712 (1994).
Many of the laws referenced in Sec. 52-17(b) have been repealed or moved to a different section of the Annotated Code of Maryland, as follows: Art. 56, §§ 135 to 157 (Gasoline Tax) appear in Tax-Gen. § 9-101 et seq.; Art. 66 ½, §§ 3-601.1, 3-801 to 3-824, 11-706, and 14-112 (Motor Vehicle Registration) appear in Transp. §§ 13- 623, 13-617, 13-901 to 13-946, 21-706, and 22-228; Art. 66 ½, § 3-831 (Titling Tax) appears in Transp. §§ 13-809 to 13-811 and 13-814; Art. 81, § 273 (Motor Vehicle Taxation) was repealed in 1981; Art. 81, § 9(32) (Class A and Class D Motor Vehicles) appears generally in Tax Prop., Title 7; Art. 81, §§ 279 to 323 (Tax on Incomes) appear in Tax-Gen., Titles 10 and 13, Nat. Res. § 5-219, Corp. & Assns. §§ 1-203, 8-204, and 8-403, and Cts. & Jud. Proc. § 5-106; Art. 78B (Horseracing and Pari-mutuel Betting) appears in the Bus. Reg. Art.; Art. 81, §§ 194 and 195 (Bonus Tax) were repealed in 1985; Art. 81, §§ 197-201 (Tax on Franchise to a Corporation) were repealed in 1972; Art. 23, §§ 129 and 130 (Recording Corporate Papers) were repealed in 1975 and portions moved to the Corp. and Assns. Art.; Art. 81, § 128 (Deposits of Savings Banks) appears in Tax-Gen., Title 8; Art. 81, §§ 135 to 143 (Insurance Premiums) appear in Tax-Gen. art. 48A §§ 631 to 640; Art. 81, §§ 149 to 193 (Inheritances) appear in Tax-Gen., Title 7; Art. 62A (Estate Tax) appears in Tax-Gen., Title 7; Art. 81, § 144 (Tax on Commissions of Executors and Administrators) appears in Tax-Gen. §§ 7-401, 7-403, and 7-405; Art. 81, §§ 431 to 464 (State Tobacco Tax Act) appear in Tax-Gen., Titles 1, 2, 12, and 13 and Art. 56 ch. 6; Art. 81, §§ 12-A and 12-B (Sales Tax and Gross Receipt Tax on Advertising, etc.) appear in Art. 24, §§ 9-201 and 9-202.
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