The instructions below correspond to the numbered areas in the sample form above.
1. Subdivisions and Activities
You must report the gross receipts and tax for each activity and subdivision in which you did business during the reporting period. Your return will be pre-printed with the subdivisions and activities that you reported on your most recent returns; you must add any others. The net proceeds from electronic bingo and electronic tip jars are subject to a 30 percent admissions and amusement tax levied by the state of Maryland. In this case, enter "State of Maryland" as the subdivision. Admissions and amusement taxes which may be due for both the state of Maryland and a county or municipality for these specific activities must be noted on separate lines and may not be combined. The net proceeds and tax for electronic bingo should be reported under Activity Code 14 (Bingo) and the net proceeds and tax for electronic tip jars should be reported under Activity Code 17 (Coin-operated Amusement Devices).
2. Gross Receipts - Column A
Combine the gross receipts for all locations of each activity in a subdivision. For example, if you have three movie theaters in Baltimore County, add the receipts from all three and enter the total on the appropriate line. The receipts must not include tax. If you do business on a “tax included” basis, you must deduct the amount of tax before entering your receipts. Report the net proceeds from electronic bingo and electronic tip jars in this column as well. For more information on computing the taxes, see Business Tax Tip #20.
3. Rate - Column B
Except for the 30 percent state admissions and amusement tax on electronic bingo and electronic tip jars, the tax rates for various activities are set by each subdivision. The correct rate will be printed for each subdivision and activity which you reported on your most recent returns.
4 . Tax - Column C
Multiply the receipts in Column A by the tax rate in Column B and enter the result in Column C.
5. Total Taxes
Add all the amounts in Column C and enter the total on this line.
6. Due Date
The due date is printed in the lower left portion of the form above the signature block.
7. If Late
If you do not file by the due date, you must include a penalty of 10 percent of the tax due, plus interest. The current interest rate is pre-printed on returns.
8. Current Account: Balance Due (+) or Credit (-)
If you receive a Statement of Account, you may claim a credit or pay an outstanding balance on this line. Enter a minus sign (-) in the brackets and the amount of credit due you or a plus sign (+) and the outstanding balance you are paying with this return. If you have not received a Statement of Account, leave this line blank.
9. Payment Due with this Report
Combine total taxes, interest and penalty, and current account balance and enter the total on this line. This Rev. 1/08 should be the amount of your payment.