In this title the following words have the meanings indicated. “Demand response trip” means the carriage of a passenger who is unable to use regular schedule, fixed termini services. “Demand response trip” includes a trip that is required under the federal Americans with Disabilities Act. “Governmental entity” means: a governmental unit; and an instrumentality of: one or more states; one or more political subdivisions of a state; or one or more states and political subdivisions of states. “Governmental unit” means: this State or a political subdivision, unit, or instrumentality of this State; another state or a political subdivision, unit, or instrumentality of that state; and a unit or instrumentality of a political subdivision of this State or of another state. “Tax collector” means the person or governmental unit responsible for collecting a tax. “Tax collector” includes: the Comptroller; the Department, with respect to: the financial institution franchise tax; and the public service company franchise tax; and the registers of wills, with respect to the inheritance tax. “Tax compliance activity” means any activity that supports the Comptroller in administering the laws described in § 2–102 of this article. “Tax compliance organization” means an organization: a purpose of which is to assist state tax officials in ensuring compliance with and enforcing state and federal tax laws; the membership of which consists solely of: states; or state tax collectors, comptrollers, or directors of revenue and their employees; and of which the State is a member or participant.

Unpaid tax and interest and penalties on the tax are, from the due date, the personal debt of the person required to pay the tax. Subsection (a) of this section does not add to or otherwise change the personal liability of an officer of a corporation under any other provision of law.

A tax collector shall apply a payment under this title first to any penalty and accrued interest and then to the unpaid tax. This section does not affect the authority of a tax collector to compromise claims or to abate or waive penalties or interest.

Subject to the approval of the Treasurer and subject to the limitation under paragraph (2) of this subsection, the Comptroller or the Department may provide by regulation for the payment of any unpaid tax liability in connection with a tax return, report, or other document required to be filed with the Comptroller or the Department in funds that are immediately available to the State on the date the payment is due. Except as provided in paragraph (3) of this subsection, the Comptroller or the Department may not require payment in funds that are immediately available to the State if the unpaid tax liability in connection with a tax return, report, or other document is less than $10,000. The Comptroller may require a person who is an agent of the payor or employer as defined in § 10-905 of this article to make payments in immediately available funds on the date the payment is due by the employer or payor if the total amount of the payments to be made by the agent for any pay period exceeds $10,000 in the aggregate. Any amounts for which an agent has not received timely payment from an employer or payor: shall be excluded for purposes of determining whether the total amount of payments to be made by an agent for a pay period exceeds $10,000 in the aggregate; and may not be required to be paid in immediately available funds under this paragraph. This paragraph does not impose or affect liability for the payment of any tax. Any regulations adopted by the Comptroller or the Department under this section shall establish a suitable means for payment in immediately available funds so as to insure the availability of those funds to the State on the date of payment. Subject to paragraphs (2) and (3) of this subsection, if a person fails to pay a tax imposed under this article on or before the date the tax is due in immediately available funds as required by the regulations of the Comptroller or the Department, the Comptroller or the Department shall assess interest and a penalty on the unpaid tax from the date the tax is due to the date on which the funds from the tax payment become available to the State. The Comptroller or the Department may waive interest and penalties on late payments if the person required to pay the tax proves that: the person made a good faith effort to comply with the requirements of this section; and the person exercised due diligence to initiate payment correctly and on a timely basis. Any interest or penalty assessed under this section due to an agent’s failure to make payment in immediately available funds as required under subsection (a)(3) of this section: shall be assessed against and paid by the agent; and is not the responsibility of the payor or employer. This paragraph does not prevent assessment of interest and penalty against a payor or employer that is required to make payment in immediately available funds without regard to subsection (a)(3) of this section. This section does not affect any requirement otherwise established by law for the filing of any return, report, or other document.

Subject to the approval of the Treasurer, the Comptroller by regulation may provide for payment in funds that are immediately available to the State of any delinquent unpaid tax liability for: income tax withheld by an employer; income tax from a corporation; or sales and use tax.