Code of Maryland Regulations › Title 03 - COMPTROLLER OF THE TREASURY › Subtitle 06 - SALES AND USE TAX › Chapter 03.06.01 - Sales and Use Tax › Section 03.06.01.39 - Detective, Guard, Armored Car Services, and Security Systems

Current through Register Vol. 51, No. 14, July 12, 2024
A. In this regulation, the following terms have the meanings indicated.
B. Terms Defined.
(1) "Armored car service" does not include coin rolling or change room services, as long as these charges are separately stated.
(2) "Detective" means a person who is authorized to provide private detective services under Business Occupations and Professions Article, Title 13, Annotated Code of Maryland.
(3) Detective Service.
(a) "Detective service" means to conduct an investigation concerning:
(i) A crime or wrong committed, assumed to have been committed, or threatened to be committed;
(ii) The identity, habits, conduct, movement, location, affiliations, associations, transactions, reputation, or character of any person;
(iii) The credibility of a witness or of any other individual;
(iv) The location of a missing individual;
(v) The location or recovery of lost or stolen property;
(vi) The origin, cause of, or responsibility for a fire, accident, damage to or loss of property, or injury to an individual, regardless of who conducts the investigation;
(vii) The affiliation, connection, or relation of any person with an organization or other person;
(viii) The activities, conduct, efficiency, loyalty, or honesty of any employee, agent, contractor, or subcontractor; or
(ix) The financial standing, creditworthiness, or financial responsibility of any person.
(b) "Detective service" includes:
(i) Securing evidence for use before any investigating committee, board of award, or board of arbitration, or for use in the trial of any civil or criminal cause;
(ii) Providing uniformed or nonuniformed personal protection;
(iii) Conducting polygraph testing;
(iv) Conducting background checks on prospective employees or tenants; or
(v) Conducting background checks on individuals by or at the request of an insurance company for worker's compensation purposes.
(c) "Detective service" does not include private process service unless the service goes beyond service of process to a missing person investigation.
(4) "Security guard service" includes any activity that is performed for compensation as a security guard to protect any individual or property.
(5) Security Systems Service.
(a) "Security systems service" means providing on the premises of a person's residential or commercial property the service of:
(i) Monitoring an electronically controlled burglar or fire alarm system for any residential or commercial property located in the State; or
(ii) Responding to a distress call or an alarm sounding from a security system.
(b) "Security systems service" does not include:
(i) Installing a burglar or fire alarm system in commercial or residential property;
(ii) Maintaining or repairing a security system for a customer;
(iii) Monitoring property located entirely outside of the State, even if the equipment used to perform the monitoring service is located in the State; or
(iv) Providing a medical response system used by individuals to summon medical aid.