Use tax: exemptions; credit card surcharges; exempt from use tax. Amends sec. 2 of 1937 PA 94 (MCL 205.92).

HB 5863 amends the Michigan Use Tax Act to clarify definitions regarding what constitutes a "purchase" and how "purchase price" is calculated for tax purposes. The bill specifically updates language to exclude separately stated interest, financing charges, and employee discounts from the taxable amount, while also refining rules for trade-ins and third-party discounts. These changes directly affect sellers, dealers, and consumers by establishing clearer guidelines on which fees and costs are subject to use tax. By modifying the statutory definitions, the legislation aims to ensure consistent application of tax rules without altering the fundamental tax rate or introducing new exemptions.