Send it in – 17 boxes of Tax Documents or Go Straight to Jail!
"17 boxes of Tax Documents" was what would have to be sent in with the Maryland Corporate Income tax return of a "large" Maryland Corporation according to the testimony by the Maryland Comptroller's office before the Senate Committee hearing earlier this afternoon.
Add to that a five (5) year jail term and/or $10,000 fine if you do not comply and you can see why we are in Annapolis today.
Mary Beth Halpern and I joined two of MACPA's State Tax Committee Members, Joe Flack and Karen Syrylo (pictured at left outside the Ways & Means Committee room) to testify before the House Ways & Means Committee and the Senate Budget & Tax Committee in favor of HB 664 adn SB 444 - Corporate Income Tax Reporting Bills that aim to amend SB 2 that put in these onerous requirements in the final hours of the special session (see our prior post for details).
The good news is that everyone is in support of these much needed changes - The Comptroller was in favor, the Council on State Taxation (COST), and a coalition led by the Maryland Chamber of Commerce, along with the Maryland Bar Association and of course MACPA. Despite these widepsread supporters,this is not a 'slam dunk" - we will keep you posted as this bill progresses.
For details on these new reporting requirements which are in effect for Corporate Tax returns filed after December 31, 2005, click on the link below.