Corporate income tax: credits; definitions for research and development tax credits; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding sec. 716.

This bill amends Michigan's income tax law to establish specific definitions for calculating research and development tax credits. It clarifies who qualifies as an "authorized business" for these credits, distinguishing between flow-through entities and general taxpayers based on their increase in qualifying research expenses. The legislation also defines key terms such as "base amount," which is calculated from the average of prior years' research spending, and "research university," which includes public institutions and independent nonprofits. By setting these clear definitions, the bill aims to streamline how businesses and universities claim tax incentives for conducting research within the state.