§ 10-106. County income tax rate

   (a) In general; exception in Howard County. --

   (1) Each county shall set, by ordinance or resolution, a county income tax equal to at least 1% but not more than the percentage of an individual's Maryland taxable income as follows:

      (i) 3.05% for a taxable year beginning after December 31, 1998 but before January 1, 2001;

      (ii) 3.10% for a taxable year beginning after December 31, 2000 but before January 1, 2002; and

      (iii) 3.20% for a taxable year beginning after December 31, 2001.

   (2) A county income tax rate continues until the county changes the rate by ordinance or resolution.

   (3) (i) A county may not increase its county income tax rate above 2.6% until after the county has held a public hearing on the proposed act, ordinance, or resolution to increase the rate.

      (ii) The county shall publish at least once each week for 2 successive weeks in a newspaper of general circulation in the county:

         1. notice of the public hearing; and

         2. a fair summary of the proposed act, ordinance, or resolution to increase the county income tax rate above 2.6%.

   (4) Notwithstanding paragraph (1) or (2) of this subsection, in Howard County, the county income tax rate may be changed only by ordinance and not by resolution.

(b) Rate change. -- If a county changes its county income tax rate, the county shall:

   (1) increase or decrease the rate in increments of one one-hundredth of a percentage point, effective on January 1 of the year that the county designates; and

   (2) give the Comptroller notice of the rate change and the effective date of the rate change on or before July 1 prior to its effective date.

HISTORY: An. Code 1957, art. 81, § 283; 1988, ch. 2, § 1; 1992, 1st Sp. Sess., ch. 2, § 2, 3; 1993, ch. 180; 1997, ch. 4, § 1; 1998, ch. 399; 1999, ch. 34, § 1; ch. 493, § 1, 2.