An Act Concerni~g Technical Changes to the Tax Laws
Maine Legislature, Session 124, LD 1539
Committee: Taxation
Sponsors: WATSON, PERRY
Amends: 36 MRSA §112, 36 MRSA §141, 36 MRSA §175, 36 MRSA §191, 36 MRSA §1115, 36 MRSA §1132, 36 MRSA §1506, 36 MRSA §1752, 36 MRSA §1754-B, 36 MRSA §3203, 36 MRSA §3203-C, 36 MRSA §5219-E, 36 MRSA §5228, 36 MRSA §6652

MAINE STATE LEGISLATURE 
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124th MAl E LEGISLATURE 
Legislative Document 
No. 1539 
H.P. 1083 
House of Representatives, December 21,2009 
An Act Concerni~g Technical Changes to the Tax Laws 
Submitted by the Department of Administrative and Financial Services pursuant to Joint 
Rule 204. 
Received by the Clerk of the House on December 17, 2009. Referred to the Committee on 
Taxation pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 401. 
Presented by Representative WATSON of Bath. 
Cosponsored by Senator PERRY of Penobscot. 
Printed on r~cycbj paper 
'!r/~ 1J1·711il£~{ 
MILLICENT M. MacFARLAND 
Clerk 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 36 MRSA §112, sUlb-§5-A, as amended by PL 1997, c. 526, §7, is further 
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amended to read: 
5-A. 
Agreements with other governments. 
The assessor may enter into 
agreements with the tax departments of other states that the assessor considers 
appropriate governments for assistance in the administration and enforcement of this Title 
if the disclosure of information to duly authorized officers of those governments is 
permitted by section 191, subsection 2, paragraph D. 
Sec. 2. 36 MRSA §U2, sUlb-§8, ,n, as enacted by PL 2009, c. 434, §7, is 
amended to read: 
D. 
Administration of the premium imposed on bulk motor vehicle oil and 
prepackaged motor vehicle oil under Title 10, section 1020. 
Sec. 3. 36 MRSA §141, sUlb-§l, as. enacted by PL 1979, c. 378, §4, is amended to 
read: 
1. General provisions. tmI:ess Except as otherwise provided, any an amount of tax 
:whleh that a person declares on a return filed by him with the State Tax Assessor to be 
due to the State shall be i§. deemed to be assessed at the time the return is filed and 5flaI.l 
be i§. payable on or before the date prescribed for filing the return, determined without 
regard to any an extension of time granted for filing the return. When a return is filed, the 
State Tax Assessor assessor shall cause it to be examined and may conduct sueh audits or 
investigations as he believes necessary to determine the correct tax liability. If fle the 
assessor determines that the amount of tax shown on the return is less than the correct 
amount, the State Tax Assessor assessor shall assess the tax due the State. No such 
Except as provided in subsection 2, an assessment 5flaI.l may not be made after 3 years 
from the date the return was filed or 3 years from the date the return was required to be 
filed, whichever is later. At any time The assessor may make a supplemental assessment 
within the appropriate assessment period prescribed by this section, the State Tax 
Assessor may malce a supplemental assessment for the same period, periods or partial 
periods previously assessed if he finds the assessor determines that any E! previous 
assessment understates the tax due or otherwise is imperfect or incomplete in any 
material aspect respect. 
Sec. 4. 36 MRSA §175, sub-§2, as amended by PL 1993, c. 377, §1, is further 
amended to read: 
2. Failure to file or pay taxes; determination to prevent renewal, reissnance or 
other extension of license or certificate. If the State Tax Assessor assessor determines 
that any ~ person who holds a state issued license or certificate of authority issued by this 
State to conduct a profession, trade or business has neglected or refused to file any returns 
a return at the time required under this Title or to pay a tax liability due under this Title 
that has been demanded, other than taxes due pursuant to Part 2, and the person continues 
to fail to file or pay after at least 2 specific written notices, each giving 30 days to 
respond, are have been sent by certified mail or served by a civi I officer, then the assessor 
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shall notify the person in writing that refu.sa.I. continued failure to file the required tax 
return or to pay the overdue tax liability may result in loss of the person's license or 
certificate of authority. If the person continues for a period in excess of 30 days from 
notice of possible denial of renewal or reissuance of a license or certificate of authority to 
fail to file or show reason why the person is not required to file or if the person continues 
not to pay, the State Tax Assessor assessor shall notify the person in writing of the 
assessor's determination to prevent renewal, reissuance or extension of the license or 
certificate of authority by the issuing agency. A review of this determination is available 
by requesting a petition for reconsideration under section 151, subject to appeal to the 
Superior Court in accordance TNith the Maine Administrative Procedure Act as provided 
in section 151. Either by failure to proceed to the next step of appeal or by exhaustion of 
the steps of appeal, the determination· of the assessor's right to prevent renewal or 
reissuance of the license or certificate of authority becomes final unless otherwise 
determined by on appeal. In any event, the license or certificate of authority in auestion 
remains in effect until all appeals are have been taken to their final conclusion. 
Sec. 5. 36 MRSA §175, sub-§6, as enacted by PL 1993, c. 377, §2, is amended to 
read: 
6. Certificate of good standing. The State Tax Assessor assessor must issue a 
certificate of good standing to the licensee person conditioned upon aft the person's 
agreement to complete obligations under this Title. If the licensee person fails to fto.nBr 
the complete obligations under this Title in accordance with that agreement, the State Tax 
Assessor assessor may notify the licensee person and the licensing authority to issuing 
agency of the assessor's determination to revoke the license or certificate of authority. A 
review of this detelmination is available by requesting a petition for reconsideration 
under section 151, subject to appeal to the Superior Court in accordance "vith the Maine 
Administrative Procedure Act as provided in section 151. Either by failure to proceed to 
the next step of appeal or by exhaustion of the steps of appeal, the determination ef-the . 
assessor's right to revoke the license or certificate of authority becomes ,final unless 
otherwise determined by on appeal. The licensing board shall issuing agency, on receipt· 
of the finalized notice that the determination to revoke the license or certificate of 
authority has become final, shall revoke the license or certificate of authority within 30 
days. The Wreau assessor and the licensee may agree to nonbinding mediation for an 
agreement to complete obligations under this Title. 
Sec. 6. 36 MRS A §191, sub-§2, CijfD, as amended by PL 1991, c. 546, §7, IS 
further amended to read: 
D. 
The disclosure of information to duly authorized officers of the United States 
and of other states, districts and territories of the United States and of the provinces 
ef Canada and its provinces for use in administration and enforcement of this Title or 
of the tax laws of those jurisdictions. +fle With respect to enforcement of the tax 
laws of other jurisdictions, the information may not be given on-Iy to the duly 
ailthorized officer wfleH: unless the officer's government permits a substantially 
similar eJwhange disclosure of information wi#t to the taxing officials of this State 
and when the government provides for the secrecy confidentiality of information in a 
manner substantially similar to the manner set-eut provided in this section; 
Sec. 7. 36 MRSA §191, sub-§4, as enacted by PL 1977, c. 668, §2, is amended to 
read: 
4. Penalties.Affy A person who willfully violates this section shall be guilt)' of 
commits a Class E crime . .Jf-the An offender who is an officer or employee of the State, 
he shall must be dismissed from office. 
Sec. 8. 36 MRS A §272, sub-§4, '1[B, as enacted by PL 1985, c. 764, §8 and 
amended by PL 1997, c. 526, § 14, is further amended to read: 
B. 
Raise, lower or sustain the Bureau of Revenue Services' bureau's determination 
of the municipality's achieved assessing standards and then, if the achieved standards 
were inadequate under the provisions of thts chapter 102, subchapter 5, and upon 
receiving from both the bureau and the municipality recommended solutions to the 
inaccurate inadequate assessing practices, order the municipality to take the 
corrective steps the board considers necessary. 
Sec. 9. 36 MRS A §1113, as repealed and replaced by PL 1977, c. 467, §13, is 
amended to read: 
§1113. Enforcement provision 
There shall be a tax A lien is created to secure the payment of the penalties provided 
in sections 1112 and section 1109, subsections 2 and 6. Such a lien 5 and section 1112, 
which may be enforced in the same manner as liens on real estate created by section 552. 
Sec. 10. 36 MRSA §1115, as amended by PL 1989, c. 748, §7, is further amended 
to read: 
§1115. Transfer of portion of parcel of land 
Transfer of a portion of a parcel of farmland subject to taxation under this subchapter 
does not affect the taxation under this subchapter of the resulting parcels unless they do 
not meet the minimum acreage requirements of this subchapter. Transfer of a portion of a 
parcel of open space land subject to taxation under this subchapter does not affect the 
taxation under this subchapter of the resulting parcels unless either or both of the parcels 
no longer provide a public benefit as required in one of the areas enumerated in section 
1102, subsection 6. 
Each resulting parcel must be taxed to the owners under this 
subchapter until such a parcel i! is withdrawn from taxation under this subchapter,. in 
which case, the penalties provided fer in section 1112 apply only to the owner of that 
parcel. If the transfer of a portion of a parcel of farmland resulting from the transfer of 
subject to taxation under this subchapter results in the creation of a parcel that is less than 
the minimum acreage requirement of required by this subchapter or, if the transfer of a 
portion of a parcel of open space land resulting from a transfer subject to taxation under 
this subchapter results in the creation of a parcel that no longer provides.!! public benefit 
in one of the areas enumerated in section 1102, subsection 6, that parcel must be 
considered as is deemed to have been withdrawn from taxation under this subchapter as a 
result of the transfer and ~ subject to the penalties as provided in section 1112. 
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Sec. 11. 36 MRSA §1132, sub-§l, as enacted by PL 2007, c. 466, Pt. A, §58, is 
amended to read: 
1. Commercial aquacultural production.' "Commercial aquaculture aquacultural 
production" has the. same meaning as in section 2013, subsection 1, paragraph A-I. 
Sec. 12. 36 MRSA §1132, sub-§3, as enacted by PL 2007, c. 466, Pt. A, §58, is 
amended to read: 
3. 
Commercial fishing' activities. 
"Commercial fishing activities" means' 
commercial aquaculture aquacultural production and commercial fishing. "Commercial 
fishing activities" does not include retail sale to the general public of marine organisms or 
their byproducts, or of other products or byproducts of commercial aauaculture 
aquacultural production or commercial fishing. 
Sec. 13. 36 MRSA §1506, as amended by PL 1987, c. 196, § 10 and PL 1997, c. 
526, § 14, is fUither amended to read: 
§1506. Rulemaking 
The Bureau of Revenue Services, after After consultation with the Commissioner of 
Marine Resources, the Commissioner of Inland Fisheries and Wildlife and the Director of 
the Division of Licensing aHd~ Registration and Engineering within the Department of 
Inland Fisheries and Wildlife, the State Tax Assessor may adopt rules and establish £l:l€fl 
forms and procedures as are necessary for the efficient administration and enforcement of 
the excise tax established imposed by this chapter. Rules adopted pursuant to this section 
are routine technical rules for the purposes of Title 5, chapter 375, subchapter 2-A. 
Sec. 14. 36 MRSA §1752, sub-§5-A, as enacted by PL 1981, c. 163, §l, IS 
amended to read: 
5-A. Products for internal human consumption. "Products for internal human 
consumption" ffteUfI: means edible products sold for human nutrition or refreshment and 
containers or instruments utensils provided simultaneously for the consumption of these 
products. It does not include spirituous, malt or vinous liquors, medicines, tonics, 
vitamins, dietary supplements or cigarettes. 
Sec. 15. 36 MRS A §1752, sub-§14, ,s, as amended by PL 2007, c. 627, §43, is 
fUlther amended to read: 
B. "Sale price" does not include: 
(l) Discounts allowed and taken on sales; 
(2) 
Allowances in cash or by credit made upon the return of merchandise 
pursuant to warranty; 
(3) The price of property returned by customers, when the full price is refunded 
either in cash or by credit; 
(4) The price received for labor or services used in installing or applying or 
repairing the property sold, if separately charged or stated; 
(5) Any amount charged or collected, in lieu of a gratuity or tip, as a specifically 
stated service charge, when that amount is to be disbursed by a hotel, restaurant 
or other eating establishment to its employees as wages; 
(6) The amount of any tax imposed by the United States on or with respect to 
retail sales, whether imposed upon the retailer or the consumer, except any 
manufacturers', importers', aJcohol or tobacco excise tax; 
(7) The cost of transportation from the retailer's place of business or other point 
from which shipment is made directly to the purchaser, provided that those 
charges are separately stated and the transportation occurs by means of common 
carrier, contract carrier or the United States mail; 
(8) The fee imposed by Title 10, section 1169, subsection 11; 
(9) The fee imposed by section 4832,. subsection I; 
(10) The lead-acid battery deposit imposed by Titre 38, section 1604, subsection 
2-B; 
(II) Any amount charged or collected by a person engaged in the rental of 
living quarters as a forfeited room deposit or carrceHation fee if the prospective 
occupant of the living quarters cancels the reservation on or before the scheduled 
date of arrival; or 
(12) The premium imposed on bulk motor vehicle oil changes imposed. and 
prepackaged motor vehicle oil by Title 10, section 1020, subsection 6 6-A. 
Sec. 16. 36 MRS A §1752, sub-§14,~, as amended by PL 2009, c. 382, Pt. B, 
§ 17 and affected by §52, is further amended to read: 
B. "Sale price" does not include: 
(I) Discounts allowed and taken on sales; 
(2) 
Allowances in cash or by credit made upon the return of merchandise 
pursuant to warranty; 
(3) The price of property returned by customers, when the full price is refunded 
either in cash or by credit; 
(5) Any amount charged or collected, in lieu of a gratuity or tip, as a specifically 
stated service charge, when that amount is to be disbursed by a hotel, restaurant 
or other eating establishment to its employees as wages; 
(6) The amount of any tax imposed by the United States on or with respect to 
retail sales, whether imposed upon the retailer or the consumer, except any 
manufacturers', importers', aJcohol or tobacco excise tax; 
(7) The cost of transportation from the retailer's place of business or other point 
from which shipment is made directly to the purchaser, provided that those 
charges are separately stated and the transportation occurs by means of common 
carrier, contract carrier or the United States mail; 
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(8) The fee imposed by Title 10, section 1169, subsection 11; 
(9) The fee imposed by section 4832, subsection 1; 
(10) The lead~acid battery deposit imposed by Title 38, section 1604, subsection 
2-B; 
(11) Any amount charged or collected by a person engaged in the rental of living 
qualiers as a forfeited room deposit or cancellation fee if the prospective 
occupant of the living qUaIiers cancels the reservation on or before the scheduled 
date of arrival; or 
(12) The premium imposed on bulk motor vehicle oil changes imposed and 
prepackaged motor vehicle oil by Title 10, section 1020, subsection 6. 
Sec. 17. 36 MRSA §1754-B, sub-§2, as amended by PL 2003, c. 673, Pt. AAA, 
§ 1, is further amended to read: 
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2. Registration certificates. Application forms for sales tax registration certificates 
must be prescribed and furnished free of charge by the assessor. The assessor shall issue 
a registration certificate to each applicant that properly completes and submits an 
application form. A separate application must be completed and a separate registration 
celiificate issued for each place of business. A registration certificate issued pursuant to 
this section is nontransferable and is not a license within the meaning of that term in the 
Maine Administrative Procedure Act. Each application for a registration certificate must 
contain a statement as to the type or types of items tangible personal property that the 
applicant intends to purchase for resale and the type or types of taxable services that the 
applicant intends to sell, and each retailer registered under this section must inform the 
assessor in writing of any changes to the type or types of items tangible personal property 
that it purchases for resale or to the type or types of taxable services that it sells. 
When a If the retailer maintains a place of business in this State, the registration 
certificate must be conspicuously displayed at that place of business. ffi- If the case of a 
retailer tHat does not have a fixed place of business and makes sales from one or more 
motor veh icles, each motor vehicle constitutes is deemed to be a place of business. 
Sec. 18. 36 MRSA §3203, sub-§I, as amended by PL 2007, c. 650, § I, IS 
repealed. 
Sec. 19. 36 MRS A §3203, sub-§4, as amended by PL 2007,c. 538, Pt. L, §2, is 
fUliher amended to read: 
4. Highway Fund. All taxes and fines collected under this chapter must be credited 
to the Highway Fund, except that beginning July 1, 2009 the Treasurer of State shall 
deposit monthly into the TransCapTrust Fund established in Title 30-A, section 6006-G 
7.5% of the excise tax imposed under subsection + I-B .. 
Sec. 20. .36 MRSA §3203-C, as amended by PL 2009, c. 413, Pt. W, §3 and 
affected by §6 and amended by c. 434, §51 and affected by §84, is repealed and the 
following enacted in its place: 
§3203-c' Inventory tax 
On the date that any increase in the rate of tax imposed under this chapter takes 
effect, an inventory tax is imposed upon all distillates that are held in inventory by a 
supplier, wholes-iler or retail dealer as of the end of the day prior to that date on whichthe 
tax imposed by section 3203, section I-B has been paid. The inventory tax is computed 
by mUltiplying the number of gallons of tax-paid fuel held in inventory by the difference 
between the tax rate already paid and the new tax rate. Suppliers, wholesalers and retail 
dealers that hold such tax-paid inventory shall make payment of the inventory tax on or 
before the 15th day of the next calendar month, accompanied by a form prescribed and 
furnished by the State Tax Assessor. In the event of a decrease in the tax rate, the 
supplier, wholesaler or retail dealer is entitled to a refund or credit, which must be 
claimed on a form designed and furnished by the assessor. 
Sec. 21. 36 MRSA §S122, sllIb-§l, I1ffZ, as amended by PL 2009, c. 213, Pt. 
BBBB, §2 and c. 434, §66 and affected by §84, is repealed and the following enacted in 
its place: 
Z. For income tax years beginning on or after January 1, 2008, the amount of any 
qualified state and local tax benefit and any qualified payment excluded from gross 
income pursuant to the Code, Section 139B; 
Sec. 22. 36 MRS A §S122, sub-§2, ~AA, as amended by PL 2009, c. 213, Pt. 
BBBB, §6 and amended by c. 434, §67, is repealed and the following enacted in its place: 
AA. For taxable years beginning on or after January!, 2009, an amount equal to the 
net increase in the depreciation deductions allowable under sections 167 and 168 of 
the Code that would have been applicable to that property had the depreciation 
deduction under the Code, Section 168(k) not been claimed with respect to such 
property placed in service on or after January 1, 2008 for which an addition was 
required under subsection 1, paragraph AA in a prior year. 
Upon the taxable disposition of property to which this paragraph applies, the amount 
of any gain or loss includable in federal adjusted gross income must be adjusted for 
Maine income tax purposes by an amount equal to the difference between the 
addition modification for such property under subsection 1, paragraph AA and the 
subtraction modifications allowed pursuant to this paragraph. 
The total amount of subtraction claimed for property under this paragraph for all tax 
years may not exceed the addition modification under subsection 1, paragraph AA for 
the same property; 
Sec. 23. 36 MRSA §S200-A, sllIb-§2, ~, as amended by PL 2009, c. 213, Pt. 
ZZZ, § 11 and Pt. BBBB, § 13, is repealed and the following enacted in its place: 
R. For taxable years beginning on or after January 1, 2009, an amount equal to the 
net increase in the depreciation deductions allowable under sections 167 and 168 of 
the Code that would have been applicable to that property had the depreciation 
deduction under the Code, Section 168(k) not been claimed with respect to such 
property placed in service on or after January 1, 2008 for which an addition was 
required under subsection 1, paragraph T in a prior year. 
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Upon the taxable disposition of property to which this paragraph applies, the amount 
of any gain or loss includable in federal taxable income must be adjusted for Maine 
income tax purposes by an amount equal to the difference between the addition 
modification for such property under subsection 1, paragraph T and the subtraction 
modifications allowed pursuant to this paragraph. 
The total amount of subtraction claimed for property under this paragraph for all tax 
years may not exceed the addition modification under subsection 1, paragraph T for 
the same property; 
Sec. 24. 36 MRSA §5219-E, as amended by PL 1997, c. 24, Pt. C, §11, IS 
repealed. 
Sec. 25. 36 MRSA §5228, sub-§3, as corrected by RR 2009, c. 1, §29, IS 
amended to read: 
3. Amount of estimated tax to be paid. Every person required to make payment of 
estimated tax is liable for an estimated tax that is no less than the smaller of the amounts 
determined pursuant to paragraphs A and B, except that large corporations as defined in 
the Code, Section 6655(g), are subject only to paragraph B, except as provided in 
subsection 5, paragraph C and individual taxpayers encountering an unusual event are 
subject only to paragraph B with respect to the unusual event, except as provided in 
subsection 5, paragraph D: 
A. An amount equal to the person's tax liability under this Part for the preceding 
taxable year, if that preceding year was a taxable year of 12 months; or 
B. An amount equal to 90% of the person's tax liability under this Part for the current 
taxable year determined without taking into account the current year's investment tax 
credit set forth in section 52 I 9 E, except that~ for farmers and persons who fish 
commercially, this amount is equal to 66 2/3% of the person's tax liability under this 
Part for the current taxable year. 
Sec. 26. 36 MRS A §5278, sub-§4, as amended by PL 2003, c. 588, §2I, IS 
further amended to read: 
4. Notice of change or correction. If a taxpayer is required by section 5227-A to 
file an amended Maine return, a claim for credit or refund of any resulting overpayment 
of the tax must be filed by the taxpayer within 2 years from the time the filing of the 
amended return was required. The claim for credit or refund is limited to issues included 
in the federal amendment or adjustment and the amount of the credit or refund may not 
exceed the amount of the reduction in tax attributable to the federal amendment or 
adjustment. This subsection does not affect the time within which or the amount for 
which a claim for credit or refund may be filed apart from this subsection. 
Sec. 27. 36 MRSA §6652, sub-§l, as amended by PL 2009, c. 213, Pt. U, §1, is 
further amended to read: 
1. Generally. A person against whom taxes have been assessed pursuant to Part 2, 
except for chapters 111 and 112, with respect to eligible property and who has paid those 
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taxes is entitled to reimbursement of a portion of those taxes from the State as provided in 
this chapter. The reimbursement under this chapter is the percentage of the taxes assessed 
and paid with respect to eligible property specified in subsection 4, .except that for claims 
filed for application periods that begin on August 1, 2006, August 1, 2009 and August 1, 
2010.the reimbursement is limited to 90% of the taxes assessed and paid '""ith respect to 
eligible property. For purposes of this chapter, a tax applied as a credit against a tax 
assessed pursuant to chapter III or 112 is a tax assessed pursuant to chapter II I or I 12. 
A taxpayer that included eligible property in its investment credit base tinder section 
5219 E OF. 5219-M and claimed the credit provided in one or more of those sections 
section 5219-M on its income tax return may not be reimbursed under this chapter for 
taxes assessed on that same eligible property in a year in which one or more of those 
credits are that credit is taken. A successor in interest of a person against whom taxes 
have been assessed with respect to eligible property is entitled to reimbursement pursuant 
to this section;. whether the tax was paid by the person assessed or by the successor, as 
long as a transfer of the property in question to the successor has occurred and the 
successor is the owner of the property as of August 1 st of the year in which a claim for 
reimbursement may be filed pursuant to section 6654. For purposes of this subsection, 
"successor in interest" includes the initial successor and any subsequent successor. When 
an eligible successor in interest exists, the successor is the only person to whom 
reimbursement under this chapter may be made with respect to the transferred property. 
For an item of eligible property that is first subject to assessment under Part 2 on or after 
April I, 2008, and for any item of eligible property for which reimbursement is paid 
under subsection 4, paragraph B, the reimbursement otherwise payable under this section 
'""ith respect to that item of eligible property must be reduced by an amount equal to the 
amount, if any, by ,,,,,hich the reimbursement otheF\vise payable under this section plus 
payments received by the tmcpayer under a tax increment financing arrangement pursuant 
to Title 30 A, chapter 206, subchapter 1 ',vith respect to that item of eligible property 
exceeds 100% of the property taxes assessed with respect to that item of eligible propm1y 
may not exceed the actual property taxes paid less any tax increment financing refund 
received. 
Sec. 28. 36 MRSA §6652, sub-§4, as enacted by PL 2005, c. 623, §5, is amended 
to read: 
4. Reimbursement percentage. Reimbursements The reimbursement under this 
chapter are for thefollo',:ving is an amount equal to the percentage specified in paragraphs 
A and B of taxes assessed and paid with respect to each item of eligible propeJiy, except 
that for claims filed for application periods that begin on August I, 2006, August I, 2009 
or August I , 20 10 the reimbursement is 90% of that amount. 
A. 
For each of the first to 12th years for which reimbursement is made, the 
percentage is 100%. 
B. 
Pursuant to section 699, subsection 2, reimbursement under this chapter after the 
12th year for which reimbursement is made is according to the following percentages 
of taxes assessed and paid with respect to each item of eligible property. 
(I) For the 13th year for which reimbursement is made, the percentage is 75%. 
(2) For the 14th year for which reimbursement is made, the percentage is 70%. 
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(3) For the 15th year for which reimbursement is made, the percentage is 65%. 
(4) For the 16th year for which reimbursement is made, the percentage is 60%. 
(5) For the 17th year for which reimbursement is made, the percentage is 55%. 
(6) For the 18th year for which reimbursement is made and for subsequent 
years, the percentage is 50%. 
Sec. 29. 36 MRS A §6754, sub-§l, as amended by PL 2009, c. 434, §83 and c. 
461, §2 7, is repealed and the following enacted in its place: 
1. Generally. Subject to the provisions of subsection 2, a qualified business is 
entitled to reimbursement of Maine income tax withheld during the calendar year for 
which reimbursement is requested and attributed to qualified employees after July 1, 
1996 in the following amounts. 
A. For qualified employees employed by a qualified business in labor market areas 
in this State in which the labor market unemployment rate is at or below the State's 
unemployment rate at the time of application, the reimbursement is equal to 30% of 
Maine income tax withheld during each of the first 5 calendar years for which 
reimbursement is requested and attributed to those qualified employees. The 
percentage of reimbursement for the 6th to 10th years of the employment tax 
increment financing development program is established based upon the labor market 
unemployment rate at the beginning of the 6th year. 
B. For qualified employees employed by a qualified business in labor market areas in 
this State in which the labor market unemployment rate is greater than the State's 
unemployment rate at the time of application, the reimbursement is equal to 50% of 
Maine income tax withheld during each of the first 5 calendar years for which 
reimbursement is requested and attributed to those qualified employees. The 
percentage of reimbursement for the 6th to 10th years of the employment tax 
increment financing development program is established based upon the labor market 
unemployment rate at the beginning of the 6th year. 
C. For qualified employees employed by a qualified business in labor market areas in 
this State in which the labor market unemployment rate is greater than 150% of the 
State's unemployment rate at the time of application, the reimbursement is equal to 
75% of Maine income tax withheld during each of the first 5 calendar years for which 
reimbursement is requested and attributed to those qualified employees. The 
percentage of reimbursement for the 6th to 10th years of the employment tax 
increment financing development program is established based upon the labor market 
unemployment rate at the beginning of the 6th year. 
D. For qualified Pine Tree Development Zone employees, as defined in Title 30-A, 
section 5250-1, subsection 18, employed directly in the qualified business activity of 
a qualified Pine Tree Development Zone business, as defined in Title 30-A, section 
5250-1, subsection 17, for whom a certificate of qualification has been issued in 
accordance with Title 30-A, section 5250-0, the reimbursement under this subsection 
is equal to 80% of Maine income tax withheld each year for which reimbursement is 
requested and attributed to those qualified employees for a period of no more than 10 
years for tier 1 locations and no more than 5 years for tier 2 'locations. 
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Reimbursement under this paragraph may not be paid for years beginning after 
December 31, 2028. 
Sec. 30. ConltilIlgenteffective date. That section of this Act that amends the 
Maine Revised Statutes, Title 36, section 1752, subsection 14, paragraph B, as amended 
by Public Law 2007, chapter 627, section 43, takes effect only if Public Law 2009, 
chapter 382 is not ratified by a m'ajority of the electors voting on that measure pursuant to 
the Constitution of Maine, Article IV, Section 17. 
Sec. 31~ Contingent effec1tive date. That section of this Act that amends the 
Maine Revised Statutes, Title 36, section 1752, subsection 14, paragraph B, as amended 
by Public Law 2009, chapter 382, Part B, section 17 and affected by section 52, takes 
effect only if Public Law 2009, chapter 382 is ratified by a majority of the electors voting 
on that measure pursuant to the Constitution of Maine, Article IV, Section 17. 
SUMMARY 
This bill makes the following changes to the laws governing taxation. 
The bill authorizes the State Tax Assessor to enter into agreements with certain other 
governmental entities for assistance in the administration and enforcement of Maine tax 
laws. 
The bill clarifies and corrects cross-references, grammar and syntax. 
The bill authorizes the State Tax Assessor, under certain circumstances, to disclose 
information to duly authorized officers of other states for use in the administration and 
enforcement of Maine tax laws. 
The biII eliminates gender-specific language. 
The bill updates the name of a state agency that was renamed by Public Law 2009, 
chapter 340. 
The bill provides that an apjJlicant for sales tax registration must identify in its 
applicatioIi the types of taxable services it intends to sell. 
The bill repeals obsolete tax rates from the special fuel tax law. 
The bill corrects a conflict created by Public Law 2009, chapters 213 and 434, which 
affected the same provision of law, by incorporating changes made by both laws. 
This bill corrects an error in the subtraction modification for depreciation deductions 
for individual and corporate income taxes. 'This bill also corrects conflicts in the Maine 
Revised Statutes, Title 36, section 5122, subsection 2, paragraph AA and section 5200-A, 
subsection 2, paragraph R. 
The bill repeals obsolete statutOlY language establishing the investment tax credit, 
since the credit is no loriger available, and repeals a reference to the investment tax credit. 
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The bill clarifies the circumstances under which an income tax credit or refund may 
be claimed based on a federal amendment or adjustment. 
This bill amends the law to clarify that a taxpayer participating in the business 
equipment tax reimbursement, or BETR, program and a tax increment financing 
agreement with a municipality may not receive a greater reimbursement than the amount 
of property taxes actually paid, less any tax increment financing refund received. 
The bill repeals a reference to the investment tax credit and clarifies the computation 
of the reduced BETR program reimbursement. 
The bill clarifies language relating to the computation of the employment tax 
increment financing reimbursement and corrects a conflict created by Public Law 2009, 
chapters 434 and 461, which affected the same provision of law.