This bill proposes changes to Michigan's individual income tax law by adjusting the income limits for the property tax credit and the homestead property tax credit. Specifically, it seeks to increase the income thresholds that determine eligibility for these credits, which are financial benefits designed to help homeowners offset their property tax bills. The legislation directly affects Michigan residents who claim these credits on their state tax returns, as it would alter the income levels required to qualify for them. By amending specific sections of the state's Income Tax Act, the bill aims to modify how much income a taxpayer can earn while still receiving these tax reductions.
This bill updates the Michigan Strategic Fund Act to expand the powers and duties of the Michigan Economic Development Corporation (MEDC). It allows the fund to establish and operate a job training program for workers and a brownfield historic investment program for specific capital projects. Additionally, the legislation clarifies the fund's authority to issue bonds for a special entity dedicated to settling a specific legal claim against the state. These changes aim to provide the MEDC with clearer legal tools to manage grants, loans, and investments while pursuing economic development goals.
This bill creates a new state tax credit program to encourage private investment in community development projects across Michigan. It allows taxpayers who invest in eligible properties, such as historic sites, rural areas, or low-income census tracts, to receive a credit equal to 25% to 50% of their investment costs. To qualify, applicants must demonstrate local support, show the project is financially sound, and prove it will revitalize blighted or vacant areas. The program includes strict timelines for securing financing and completing construction, with a total annual funding cap of $200 million that must be at least 30% allocated to housing projects.
HB 5806 creates a new state tax credit for individuals and businesses that invest in affordable housing projects in Michigan starting in 2027. The bill allows these investors to reduce their income tax by a specific amount tied to their share of the project, provided they receive approval from the State Housing Development Authority. It also establishes rules for how investors must report the credit, handle situations where federal tax credits are lost, and carry forward any unused credit for up to 10 years.
SB 966 amends the State Housing Development Authority Act of 1966 to add new powers for the State Housing Development Authority in Michigan. The bill allows the authority to establish and collect fees for its publications, loans, and related services, and to use the resulting income for its corporate purposes. These funds are not considered interest and can be used to support the authority's housing initiatives, provided they are not pledged for bond repayment. The legislation directly affects the State Housing Development Authority by expanding its financial and operational capabilities to better serve housing needs across Michigan.
SB 968 amends Michigan's insurance code to allow insurers to claim a credit against a specific tax on foreign insurers that are subject to higher fees or taxes in their home states. This provision, effective for tax years starting on or after January 1, 2027, permits eligible insurers to offset the tax amount equal to the state low-income housing tax credit they would otherwise qualify for. The bill directly affects domestic insurance companies that operate in Michigan and are impacted by discriminatory or excessive tax burdens imposed by other states or countries. It is part of a series of related bills designed to promote interstate business for Michigan insurers while maintaining existing tax structures for those not meeting specific criteria.
This bill amends the Michigan Strategic Fund Act to expand the fund's existing legal powers and operational capabilities. It directly affects the Michigan Economic Development Corporation by allowing it to perform a wider range of financial and administrative tasks, such as issuing bonds, managing job training funds, and operating brownfield investment programs. The key provision updates the statute to explicitly authorize the fund to create new accounts, secure loans for export transactions, and pursue repayment of grants that fail to meet agreement terms. By clarifying these authorities within the current law, the legislation aims to provide a more robust legal framework for the fund's economic development activities without altering its core mission.
This bill creates a new tax credit for Michigan residents with qualified dependents starting in the 2026 tax year. The credit equals 50% of the state school aid target foundation allowance for each dependent who is between 5 and 18 years old, not enrolled in public school, and has demonstrated proficiency in reading and math. If the credit amount is larger than the taxpayer's tax liability, the excess will be refunded to the taxpayer. The Department of Treasury may require proof that a dependent meets the eligibility requirements.
This bill creates a new corporate income tax credit for Michigan employers who train apprentices and employ students in career and technical education programs. Starting in 2026, eligible businesses can receive tax credits covering up to 50% of certain training expenses or $2,000 per apprentice or student, with small businesses under 50 employees receiving an additional 10% bonus credit. The credit applies to qualified expenses such as wages, benefits, and classroom instruction costs, and any unused portion can be refunded to the taxpayer. Additionally, the bill requires the state Department of Labor to annually report on program participation, employment outcomes, and the fiscal impact of the credits to legislative committees.
This Senate Resolution (SR 88) requests Governor Whitmer to join the federal Tax Credit Scholarship Program for K-12 education. The resolution directly addresses the governor, asking her to opt-in to a federal program that would allow Michigan taxpayers to receive a $1,700 tax credit for donations to scholarship organizations. These organizations would then provide tax-free scholarships to K-12 students in Michigan public and private schools, starting in 2027. The resolution is non-binding and seeks to encourage state participation in the federal program, which Michigan has not yet elected to join.
