{"data":{"id":"us-md/md.-code-local-government-20-603","jurisdiction":"us-md","citation":"Md. Code, Local Government § 20–603","heading":"","body":"(a) By ordinance, Anne Arundel County may impose a sales or use tax on:\n(1) fuel and utilities used by commercial and industrial businesses;\n(2) residential, commercial, and industrial telephone service; and\n(3) space rentals other than space rentals for the docking or storing\nof boats.\n(b) (1) Any revenues collected under subsection (a)(1) and (2) of this\nsection in the City of Annapolis shall be allocated and distributed in equal amounts\nto the City of Annapolis and to Anne Arundel County.\n(2) Except as otherwise provided in this subsection, any revenue\ngenerated in the City of Annapolis from the tax on space rentals shall be collected\nand retained by the City of Annapolis.\n(3) Except as provided in paragraph (6) of this subsection, any\nrevenue generated in the City of Annapolis from the hotel tax shall be collected by\nAnne Arundel County.\n(4) From any revenue generated in the City of Annapolis from the\nhotel tax, Anne Arundel County shall distribute:\n(i) 3% to a special fund to be used only to provide funds to the\nAnnapolis Art in Public Places Commission;\n(ii) 3% to a special fund to be used only to provide funds to the\nArts Council of Anne Arundel County, Inc.;\n(iii) 17% to a special fund to be used only to provide funds to\nVisit Annapolis and Anne Arundel County, Inc.; and\n(iv) 3% to the Affordable Housing Trust Fund established\nunder § 20.30.070 of the Code of the City of Annapolis to be used only for housing\nassistance payments.\n(5) After making the distributions required under paragraph (4) of\nthis subsection, the balance of the revenue generated in the City of Annapolis from\nthe hotel tax shall be distributed to the City of Annapolis.\n(6) (i) Anne Arundel County may authorize the City of Annapolis\nto collect revenue generated in the City of Annapolis from the hotel tax.\n(ii) If Anne Arundel County authorizes the City of Annapolis\nto collect revenue generated in the City of Annapolis from the hotel tax, the City of\nAnnapolis shall distribute a percentage of the revenue in accordance with paragraph\n(4) of this subsection and retain the balance of the revenue generated.\n(c) (1) From the county’s share of revenue from the hotel tax, Anne\nArundel County shall distribute:\n(i) 3% to a special fund to be used only to provide funds to the\nArts Council of Anne Arundel County, Inc.; and\n(ii) 17% to a special fund to be used only to provide funds to\nVisit Annapolis and Anne Arundel County, Inc.\n(2) After making the distributions required under paragraph (1) of\nthis subsection, the balance of the county’s share of revenue from the hotel tax shall\nbe credited to the general fund of the county.\n(d) (1) On or before November 1 each year, the Annapolis Art in Public\nPlaces Commission shall report on its use of hotel tax revenue during the preceding\nfiscal year to:\n(i) the Mayor and City Council of the City of Annapolis; and\n(ii) in accordance with § 2–1257 of the State Government\nArticle, the Senate Budget and Taxation Committee, the House Committee on Ways\nand Means, and the members of the General Assembly representing the City of\nAnnapolis.\n(2) If the Annapolis Art in Public Places Commission fails to submit\nthe report required under paragraph (1) of this subsection, the City of Annapolis may\nwithhold from appropriation special funds dedicated to the Commission under this\nsection.\n(e) (1) On or before November 1 each year, the Arts Council of Anne\nArundel County, Inc. and Visit Annapolis and Anne Arundel County, Inc. shall report\non their use of hotel tax revenue during the preceding fiscal year to:\n(i) the Anne Arundel County Executive;\n(ii) the Mayor and City Council of the City of Annapolis; and\n(iii) in accordance with § 2–1257 of the State Government\nArticle, the Senate Budget and Taxation Committee, the House Committee on Ways\nand Means, and the members of the General Assembly representing Anne Arundel\nCounty.\n(2) The County Auditor of Anne Arundel County:\n(i) may conduct an audit of the financial records of the Arts\nCouncil of Anne Arundel County, Inc. or Visit Annapolis and Anne Arundel County,\nInc.; and\n(ii) shall report any audit findings under item (i) of this\nparagraph to the governing body of Anne Arundel County.\n(3) (i) The City of Annapolis or Anne Arundel County may\nwithhold from appropriation special funds dedicated to the Arts Council of Anne\nArundel County under this section if the Council fails to:\n1. submit the report required under paragraph (1) of\nthis subsection; or\n2. correct any audit findings identified under\nparagraph (2) of this subsection.\n(ii) The City of Annapolis or Anne Arundel County may\nwithhold from appropriation special funds dedicated to Visit Annapolis and Anne\nArundel County, Inc. under this section if Visit Annapolis and Anne Arundel County,\nInc. fails to:\n1. submit the report required under paragraph (1) of\nthis subsection; or\n2. correct any audit findings identified under\nparagraph (2) of this subsection.\n(f) The hotel tax authorized under this section does not apply to the sale of\na right to occupy a room or lodgings as a transient guest at a dormitory or other\nlodging facility that:\n(1) is operated solely in support of the headquarters, a training\nfacility, a conference facility, an awards facility, or the campus of a corporation or\nother organization;\n(2) provides lodging solely for employees, contractors, vendors, and\nother invitees of the corporation that owns the dormitory or lodging facility; and\n(3) does not offer lodging services to the general public.","path":["Article - Local Government"],"source_url":"https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=glg\u0026section=20-603","current_through":"2026-01-01","vintage":"","retrieved_at":"2026-09-14T19:59:58Z","sha256":"07a8605173098c83ccf4b006d819054d4cb76ecf585a3983944642321db13533","source_id":"us-md","stale":false,"prev":"us-md/md.-code-local-government-20-602","next":"us-md/md.-code-local-government-20-604"},"notice":"GroundRules: Original legal text. Not legal advice."}