Title 2. Administration by Comptroller — Subtitle 1. General Duties

the admissions and amusement tax;

the boxing and wrestling tax;

the digital advertising gross revenues tax;

the income tax;

the Maryland estate tax;

the Maryland generation–skipping transfer tax;

the motor carrier tax;

the motor fuel tax;

the sales and use tax; and

the savings and loan association franchise tax.

the alcoholic beverage tax; and

the tobacco tax.

The head of the Legal Division is the Director.

Subject to the supervision of the Comptroller, the Director has administrative control of the Legal Division.

The Director shall appoint other officers and employees of the Legal Division in accordance with the provisions of the State Personnel and Pensions Article, including a minimum of six attorneys.

Officers and employees of the Legal Division are entitled to a salary as provided in the State budget.

provide expanded and detailed tax guidance to taxpayers, including private letter rulings; and

perform other related duties as assigned by the Comptroller in accordance with Title 13, Subtitle 1A of this article.

The head of the Division is the Taxpayer Advocate.

The Taxpayer Advocate shall have:

Subject to the supervision of the Comptroller, the Taxpayer Advocate has administrative control over the Division.

The Comptroller shall select the Taxpayer Advocate and the employees of the Division, who may include employees from the Comptroller’s Office and residents of this State with knowledge of taxation.

The Taxpayer Advocate shall appoint other officers and employees of the Division in accordance with the provisions of the State Personnel and Pensions Article.

The Division shall include a minimum of six employees, including the Taxpayer Advocate, as well as appropriate support staff, one of whom shall have experience in the field of information technology to serve as webmaster.

Officers and employees of the Division are entitled to a salary as provided in the State budget.

The Department of Budget and Management, in coordination with the Office of the Comptroller, shall make appropriate allocations for personnel, including the ability to reclassify positions.

be subject to all confidentiality and disclosure provisions applicable to the Comptroller’s Office;

be responsible for assisting taxpayers and their representatives to ensure that taxpayers and their representatives understand and utilize the policies, processes, and procedures available for the resolution of problems related to tax programs and debt collection programs administered by the Comptroller;

assist taxpayers in resolving problems with the Comptroller’s Office;

identify areas in which taxpayers experience problems in dealing with the Comptroller’s Office;

provide expeditious service to taxpayers whose problems are not resolved through ordinary channels;

collaborate with other employees of the Comptroller’s Office to resolve the most complex and sensitive taxpayer problems;

resolve systemic problems experienced by taxpayers;

report to the Comptroller if, in the opinion of the Division, the Comptroller’s Office is administering a law improperly;

participate and represent taxpayers’ interests and concerns in planning meetings, reviewing instructions, and formulating policies and procedures of the Comptroller’s Office;

compile data each year on the number and type of taxpayer complaints and evaluate the actions taken to resolve the complaints;

survey taxpayers each year to obtain their evaluation of the quality of service provided by the Comptroller’s Office;

propose changes in the administrative practices of the Comptroller’s Office to mitigate issues in resolving problems and complaints identified under items (3) and (10) of this subsection;

identify potential legislative or regulatory changes that may be appropriate to resolve any problems or complaints identified under items (3) and (10) of this subsection;

establish an electronic portal on the Comptroller’s website where taxpayers can interact with the Division directly; and

perform other related duties as assigned by the Comptroller in accordance with Title 13, Subtitle 1A of this article.

Subject to the requirements of § 2–110 of this subtitle and subsection (b) of this section, the Comptroller shall design the returns and other forms that, on completion, provide the information required for the administration of the tax laws listed in § 2–102 of this subtitle.

The Comptroller shall include on the income tax forms required under paragraph (1) of this section that are updated on an annual basis a demonstrative representation of how much of each dollar that the General Fund receives is spent on the following categories:

The demonstrative representation required under paragraph (2) of this subsection may be in the form of a graph or picture or a combination of graph and picture.

The Comptroller shall keep an income tax return for 5 years from the date the return is filed. After 5 years, the Comptroller may destroy the return.

The Comptroller shall keep a sales and use tax return for 2 years from the date the return is filed. After 2 years, the Comptroller may destroy the return.

the motor fuel tax laws; and

the sales and use tax laws.

shall determine:

may adopt any other method or device that the Comptroller considers necessary to:

shall provide tax stamps or certificates to indicate that the alcoholic beverage tax or tobacco tax has been paid; and

may adopt reasonable regulations to prevent abuse but ensure the adequate availability of tax stamps and certificates, including regulations that:

In this section the following words have the meanings indicated.

“Nonresident” has the meaning stated in § 10-101 of this article.

“Resident” has the meaning stated in § 10-101 of this article.

“Wages” has the meaning stated in § 10-905(f) of this article.

The Comptroller shall prepare income tax tables to show the income tax for an individual.

The Comptroller shall prepare tables based on Maryland taxable income that provide for:

The State income tax for each interval is the whole dollar amount of tax for the income that is at the midway point of the interval.

The Comptroller shall prepare income tax withholding tables that show the income tax to be withheld from wages. The Comptroller may prepare separate tables for residents and nonresidents.

The withholding tables shall provide for:

The total amounts required under the tables to be withheld during a taxable year shall approximate the total income tax due on the wages for the year, determined as provided in subsection (f) of this section.

The Comptroller may prepare income tax percentage withholding schedules that show the percent of income tax to be withheld from wages. The Comptroller may prepare separate schedules for residents and nonresidents.

The optional percentage withholding schedules shall provide for:

The total percentages required under the schedules to be withheld during a taxable year shall approximate the income tax due on the wages for the year, determined as provided in subsection (f) of this section.

shall be individuals who are sworn police officers; and

have all the powers, duties, and responsibilities of a peace officer for the purpose of enforcing the laws pertaining to:

The Department of State Police shall help the Field Enforcement Bureau in enforcing the motor carrier tax, motor fuel tax and motor fuel and lubricants laws.

The Comptroller shall pay the salaries and expenses of all Department of State Police staff assigned to the Field Enforcement Bureau.

The Field Enforcement Bureau of the Comptroller’s Office and the Field Enforcement Division of the Alcohol, Tobacco, and Cannabis Commission:

This subsection does not restrict the appropriation of money by a political subdivision of the State to aid in the enforcement of the alcoholic beverage tax and tobacco tax laws.

Each unit of the State government shall cooperate with the Comptroller’s Office by making available, on request, any information in the unit’s possession as may be of assistance in the administration and enforcement of the motor carrier tax, motor fuel tax, and motor fuel and lubricants laws.

The Field Enforcement Bureau shall cooperate with and help the federal government, other states, and local governments and law enforcement personnel of those jurisdictions to enforce the motor carrier tax, motor fuel tax, and motor fuel and lubricants laws.

the aggregate number of licensed tobacco retailers that committed a violation of § 10–107 of the Criminal Law Article and the aggregate number of minors who committed a violation of § 10–107 of the Criminal Law Article during the reporting period;

the number of prior violations for licensed tobacco retailers and minors that committed a violation during the reporting period; and

the subsequent action taken by the Executive Director against each violator and, for each action taken, the number of violations committed by the violator.

collect the taxes that the Comptroller administers or is otherwise required under this article to collect;

account for the revenue from those taxes and any other tax required to be remitted to the Comptroller; and

distribute the revenue in the manner required under Subtitles 2 through 16 of this title.

The Comptroller shall include on the individual income tax return form a checkoff designated as the “State Chesapeake Bay and Endangered Species Fund Contribution”.

The checkoff shall state that:

The Comptroller shall include, with the individual income tax return package, a description of the purposes for which the State Chesapeake Bay and Endangered Species Fund was established and the purposes for which the Fund may be used.

collect the checkoff contributions and account to the State Treasurer for the money collected;

from the contributions collected, distribute the amount necessary to administer the checkoff system to an administrative cost account; and

after the distribution under item (2) of this subsection, distribute the remainder of the money collected under this subsection to the Chesapeake Bay and Endangered Species Fund established under § 1-702 of the Natural Resources Article.

The Comptroller shall include on the individual income tax return form a checkoff designated as the “Maryland Cancer Fund Contribution”.

The checkoff shall state that:

The Comptroller shall include, with the individual income tax return package, a description of the purposes for which the Maryland Cancer Fund was established and the purposes for which the Fund may be used.

collect the checkoff contributions and account to the State Treasurer for the money collected;

from the contributions collected, distribute the amount necessary to administer the checkoff system to an administrative cost account; and

after the distribution under item (2) of this subsection, distribute the remainder of the money collected under this subsection to the Maryland Cancer Fund established under § 20-117 of the Health - General Article.

The Comptroller shall include on the individual income tax return form a checkoff designated as the “Developmental Disabilities Services and Support Fund Contribution”.

The checkoff shall state that:

The Comptroller shall include, with the individual income tax return package, a description of the purposes for which the Waiting List Equity Fund was established and the purposes for which the Fund may be used.

collect the checkoff contributions and account to the State Treasurer for the money collected;

from the contributions collected, distribute the amount necessary to administer the checkoff system to an administrative cost account; and

after the distribution under item (2) of this subsection, distribute the remainder of the money collected under this subsection to the Waiting List Equity Fund established under § 7–205 of the Health – General Article to be used to provide community–based services to individuals who are on the Developmental Disabilities Administration waiting list and are eligible for, but not receiving, services from the Administration.

The Comptroller shall include on the individual income tax return form a checkoff designated as the “Fair Campaign Financing Fund Contribution”.

The checkoff shall state that:

The Comptroller shall include with the individual income tax return package a description of the purposes for which the Fair Campaign Financing Fund was established and the purposes for which the Fund may be used.

collect the checkoff contributions and account to the State Treasurer for the money collected;

from the contributions collected, distribute the amount necessary to administer the checkoff system to an administrative cost account; and

after the distribution under item (2) of this subsection, distribute the remainder of the money collected under this subsection to the Fair Campaign Financing Fund established under § 15–103 of the Election Law Article.

The Comptroller may record or monitor incoming calls to the Comptroller’s call centers only.

The Comptroller may not record or monitor calls to or from direct individual lines in the Office of the Comptroller.

if the call is to be used solely as a positive example to follow in the training of employees using the Comptroller’s call centers; or

if the caller has made a personal and imminent threat against an employee or property of the State.

In this section the following words have the meanings indicated.

“Advisory Workgroup” has the meaning stated in § 31–201 of the Insurance Article.

“Affordable Care Act” has the meaning stated in § 1–101 of the Insurance Article.

“Exchange” has the meaning stated in § 31–101 of the Insurance Article.

“Insurance affordability program” has the meaning stated in § 31–201 of the Insurance Article.

“Insurance–relevant information” means information about an uninsured individual that is needed for the Exchange to:

“Minimum essential coverage” has the meaning stated in § 31–101 of the Insurance Article.

“Premium tax credits” means the tax credits described in § 36B of the Internal Revenue Code.

“Program” means the Maryland Easy Enrollment Health Insurance Program established under § 31–202 of the Insurance Article.

“Qualified health plan” means a health benefit plan that has been certified by the Exchange to meet the criteria for certification described in § 1311(c) of the Affordable Care Act and § 31–115 of the Insurance Article.

“Uninsured individual” has the meaning stated in § 31–201 of the Insurance Article.

The Comptroller shall include on the individual income tax return form a checkoff for indicating whether the individual, or each spouse in the case of a joint return, and any individual claimed as a dependent on the tax return is an uninsured individual at the time the tax return is filed.

If a State income tax return indicates that an individual is an uninsured individual at the time the tax return is filed, the tax return shall be required to include the following information as to each uninsured individual:

For an individual who files a tax return and chooses the checkoff box described in subsection (c)(3) of this section, the return shall give the individual who filed the tax return the option to indicate the uninsured individual’s preferred method for the Exchange to contact the individual who filed the tax return or the uninsured individual to facilitate either determination of eligibility for insurance affordability programs or enrollment in health coverage.

In accordance with this subsection, the Comptroller shall include with the income tax return form a separate form that is required only for individuals who file a tax return indicating that an individual is an uninsured individual at the time the tax return is filed.

The separate form shall include two checkoff boxes as described in paragraphs (3) and (4) of this subsection and the information described in subsection (b)(2) and (3) of this section.

One checkoff box shall give an individual who files a tax return the choice to have the Exchange:

One checkoff box shall allow an individual who files a tax return the choice to not have the Exchange make the determination described in paragraph (3) of this subsection.

The Comptroller, in consultation with the Exchange and with the advice of the Advisory Workgroup, shall:

If an individual who files a tax return makes the election described in paragraph (3) of this subsection, notwithstanding the prohibition under § 13–202 of this article, the Comptroller shall convey to the Exchange all insurance–relevant information contained on the return.

Except as provided in paragraph (2) of this subsection, this section shall apply to returns filed for taxable years beginning after December 31, 2018.

If the Comptroller determines, after consultation with the Exchange, that the implementation of this section is not administratively feasible for taxable years beginning after December 31, 2018, the Comptroller may delay implementation of this section to taxable years beginning after December 31, 2019.

There is a Maryland Earned Income Tax Credit Assistance Program for Low–Income Families.

The purpose of the Program is to:

The Comptroller shall administer the Program.

This subsection applies to a taxable year beginning after December 31, 2029.

Subject to subsection (d) of this section, the Comptroller shall provide, as part of the Program, a form to claim the credit under § 10–704 of this article to any resident:

The Comptroller shall provide the form required under this subsection no later than 45 days before the expiration of the statute of limitations for claiming a refund under § 13–1104(c)(1) of this article.

The Comptroller shall notify each resident identified under subsection (c)(2) of this section that the Program is a method of claiming the credit under § 10–704 of this article available to eligible residents.

The notification required under paragraph (1) of this subsection shall include:

the effectiveness of the Program in meeting the purpose specified in subsection (b)(2) of this section and recommendations for potential statutory or administrative changes to enhance participation in the Program;

the number of claim forms provided to residents during the previous fiscal year;

the number of claim forms filed by residents during the previous fiscal year;

the number of refundable credits provided to residents during the previous fiscal year; and

the total amount of refundable credits provided to residents during the previous fiscal year.

In this section the following words have the meanings indicated.

“Awareness campaign” means the individual income tax credit eligibility awareness campaign.

Subject to paragraph (2) of this subsection, the Comptroller shall implement and administer an individual income tax credit eligibility awareness campaign to:

The Comptroller may decide which individual income tax credits and underserved populations to include in the awareness campaign.

Subject to paragraph (2) of this subsection, in administering the awareness campaign, the Comptroller:

For a data sharing agreement entered into in accordance with paragraph (1)(i) of this subsection:

The Comptroller shall include on the individual income tax return form a checkoff designated as the “Maryland Veterans Trust Fund Contribution”.

The checkoff shall state that:

The Comptroller shall include, with the individual income tax return package, a description of the purposes for which the Maryland Veterans Trust Fund was established and the purposes for which the Fund may be used.

collect the checkoff contributions and account to the State Treasurer for the money collected;

from the contributions collected, distribute the amount necessary to administer the checkoff to an administrative cost account; and

after the distribution under item (2) of this subsection, distribute the remainder of the money collected under this subsection to the Maryland Veterans Trust Fund established under § 9–913 of the State Government Article.

In this section the following words have the meanings indicated.

“Justice–involved individual” means an individual who is convicted of or pleads guilty to a crime and is currently serving or, within the immediately preceding 2 years, has been released after serving a term of imprisonment of at least 6 months but not more than 10 years in a State or federal correctional facility.

“Program” means the Income Tax Reconciliation Program.

subject to subsection (d) of this section, establish installment payment plans to pay any unpaid income tax that is due for any taxable year during which the individual is incarcerated; and

if approved for an installment payment plan, receive a waiver for any interest and penalties that accrue on the unpaid income tax.

For any taxable year that begins after December 31, 2024, but before January 1, 2030, a justice–involved individual who receives a notice of assessment of income tax due for a taxable year during which the individual is incarcerated may apply to the Comptroller for an installment payment plan.

If the Comptroller determines that the justice–involved individual is eligible to participate in the Program, the Comptroller shall establish an installment payment plan that allows the individual to pay the unpaid income tax over a period not exceeding 10 years.

If a justice–involved individual is approved for an installment payment plan under the Program, the Comptroller shall waive any interest and penalties that accrue on the unpaid income tax due.

To carry out the Program, the Comptroller shall:

The regulations required under paragraph (1)(ii) of this subsection may include income limitations that establish eligibility for the Program.