(a) The Comptroller shall assess a penalty not exceeding $500 if:
(1) an individual, as defined under § 10–101 of this article, files what purports to be an income tax return, but which:
(i) does not contain information on which the substantial correctness of the tax may be determined; or
(ii) contains information that, on its face, indicates the tax reported on the return is substantially incorrect; and
(2) the conduct of the individual is due to:
(i) a desire, apparent on the face of the return, to delay or impede the administration of the provisions of Title 10 of this article; or
(ii) a position that is frivolous because the position:
1. has no basis in law or fact;
2. is patently unlawful; and
3. does not involve a legitimate dispute or reflect an inadvertent mathematical or clerical error.
(b) The penalty under subsection (a) of this section is in addition to any penalty assessed under § 13–701 of this subtitle.
Structure Maryland Statutes
Section 13-701 - When Return Not Filed or Tax Not Paid
Section 13-703 - False Returns
Section 13-704 - Fraudulent Failure to File Return
Section 13-705 - Frivolous Income Tax Return
Section 13-706 - Failure to Provide or Providing False Income Tax Withholding Statement
Section 13-706.1 - Failure to Provide or Providing False Withholding Reconciliation Report
Section 13-708 - Noncompliance With Notice and Demand
Section 13-709 - Noncompliance With Notice and Demand for Final Sales and Use Tax Assessment
Section 13-710 - Seizure of Illegally Manufactured Distilled Spirits or Mash
Section 13-711 - Failure to Keep Tobacco Tax Records
Section 13-712 - Evasion of Boxing and Wrestling Tax
Section 13-714 - Waiver of Penalty
Section 13-715 - Tax Preparers -- Failure to Sign or Provide Identification Numbers; Injunctions
Section 13-716 - Penalty for Underpayment; Calculations
Section 13-717 - Penalty for Violation of 10-824 of This Article