Individual income tax: credit; working parent tax credit for certain dependents; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding sec. 272a.

House Bill 4488 proposes a new refundable working parent tax credit for Michigan taxpayers, effective for tax years beginning on or after January 1, 2025. The bill would allow a credit of $5,000 for each qualified dependent who is three years of age or less, up to a maximum of three dependents per tax year. To be eligible, a taxpayer must have at least $10,000 in earned income for the tax year. If the credit exceeds the taxpayer's income tax liability, the remaining amount would be refunded.