§ 11–217
Statutes in effect as of October 1, 2026.
Md. Code Ann., Tax-Gen. § 11-217 (2026)
Title 11. Sales and Use Tax
Subtitle 2. Exemptions
§ 11–217LinkCopy Citation
(a)
(1)
In this section, “research and development” means:
(i)
basic and applied research in the sciences and engineering; and
(ii)
the design, development, and governmentally required pre-market testing of prototypes, products, and processes.
(2)
“Research and development” does not include:
(i)
market research;
(ii)
research in the social sciences or psychology and other nontechnical activities;
(iii)
routine product testing;
(iv)
sales services; or
(v)
technical and nontechnical services.
(b)
The sales and use tax does not apply to a sale of tangible personal property, a digital code, or a digital product for use or consumption in research and development.