The Honorable Thomas V. Mike Miller, Jr.
President of the Senate
State House
Annapolis MD 21401

Dear Mr. President:

In accordance with Article II, Section 17 of the Maryland Constitution, I have today vetoed Senate Bill 726.

This bill exempts a "prepaid telephone calling arrangement" from the gross receipts tax. Instead, the sales and use tax is imposed on the purchase of a prepaid telephone calling card arrangement. The sales and use tax does not apply to the use of a taxable service obtained by using a prepaid telephone calling arrangement.

House Bill 1130, which was passed by the General Assembly and signed by me on May 27, 1999, accomplishes the same purpose. Therefore, it is not necessary for me to sign Senate Bill 726.

Parris N. Glendening