In this subtitle the following words have the meanings indicated. “Qualifying tourism enterprise” means a for–profit or nonprofit entity that conducts business within a tourism zone, subject to the limitations specified by the political subdivision within which the tourism zone is located. “Tourism zone” means a developed zone of public and private uses that is designated by a political subdivision for the development of travel and tourism and located within that political subdivision.

The Mayor and City Council of Baltimore City or the governing body of a county or municipality may designate, by law, an area within the political subdivision as a tourism zone. In designating a tourism zone under subsection (a) of this section, the political subdivision may provide, by law, for: the duration of the designation; and eligibility criteria to qualify as a qualifying tourism enterprise. The designation of an area as a tourism zone does not preclude the area from also being designated as an arts and entertainment district under Title 4, Subtitle 7 of the Economic Development Article.

In a tourism zone: the exemption from the admissions and amusement tax under § 4–104(g) of the Tax – General Article applies to qualifying tourism enterprises; and the property tax credits under §§ 9–268 and 9–269 of the Tax – Property Article apply. On or before July 1 preceding the effective date of its establishment, the political jurisdiction shall notify the Comptroller that a tourism district is established. A political subdivision that establishes a tourism zone shall notify the Comptroller of: any qualifying tourism enterprises to which the exemption from the admissions and amusement tax under § 4–104(g) of the Tax – General Article applies; the date on which the qualifying tourism enterprise qualified for the exemption; and the date, if any, on which the exemption for the qualifying tourism enterprise expires.