(a) The Comptroller may distribute, apportion, or allocate gross income, deductions, credits, or allowances between and among two or more organizations, trades, or businesses, whether or not incorporated, whether or not organized in the United States, and whether or not affiliated, if:
(1) the organizations, trades, or businesses are owned or controlled directly or indirectly by the same interests within the meaning of § 482 of the Internal Revenue Code; and
(2) the Comptroller determines that the distribution, apportionment, or allocation is necessary in order to reflect an arm’s length standard within the meaning of § 1.482-1 of the Regulations of the Internal Revenue Service of the U.S. Treasury and to reflect clearly the income of those organizations, trades, or businesses.
(b) The Comptroller shall apply the administrative and judicial interpretations of § 482 of the Internal Revenue Code in administering this section.
Structure Maryland Statutes
Subtitle 1 - Definitions; General Provisions
Section 10-102 - Imposition of Tax -- in General
Section 10-102.1 - Imposition of Tax -- Certain S Corporations and Partnerships
Section 10-103 - County Income Tax
Section 10-105 - State Income Tax Rates
Section 10-106 - County Income Tax Rate
Section 10-106.1 - Individuals Subject to State Tax but Not County Tax
Section 10-107 - Application of Federal Income Tax Law
Section 10-108 - Effect of Amendment of Internal Revenue Code; Report by Comptroller