Use tax: exemptions; exemption for certain generators; provide for. Amends sec. 4 of 1937 PA 94 (MCL 205.94).

Senate Bill 896 amends Michigan's Use Tax Act to clarify and update the list of property and services exempt from the tax. The bill directly affects various businesses and organizations, including vehicle dealers, agricultural enterprises, schools, and religious institutions, by specifying conditions under which they do not owe the tax. Key provisions include maintaining exemptions for items purchased for resale, property used in farming and livestock operations, and goods brought into the state by nonresidents for temporary use. Additionally, the bill sets specific limits on the number of demonstration vehicles new car dealers can purchase tax-free based on their annual sales volume.