§ 11-219

Maryland § 11-219

• Jurisdiction: Maryland
• Article gtg: Tax - General
• Title: 11

Text

(a) The sales and use tax does not apply to a personal, professional, or insurance service that:

(1) is not a taxable service; and

(2) involves a sale as an inconsequential element for which no separate charge is made.

(b) The sales and use tax does not apply to the sale of an optional computer software maintenance contract if the buyer does not have a right, as part of the contract, to receive at no additional cost software products that are separately priced and marketed by the vendor.

(c) The sales and use tax does not apply to the use of a taxable service obtained by using a prepaid telephone calling arrangement.

(d) (1) (i) In this subsection the following words have the meanings indicated.

(ii) “Cloud computing” means a service that enables on–demand, self–service network access to a shared pool of configurable computer resources, including data storage, analytics, commerce, streaming, e–mail, document sharing, and document editing.

(iii) “Qualified cybersecurity business” means an entity organized for profit that is engaged primarily in the development of innovative proprietary cybersecurity technology or the provision of cybersecurity services.

(2) The sales and use tax imposed on a taxable service described under § 11–101(m)(14) or (15) of this title does not apply to a sale of cloud computing to a qualified cybersecurity business.