Budget & Taxes

signed · Michigan · House Dec 2, 2025

HB 4420: State management: funds; form to disclose legislatively directed spending items; create. Amends 1984 PA 431 (MCL 18.1101 - 18.1594) by adding sec. 364a. TIE BAR WITH: SB 0596'25

HB 4420 creates a standardized form requiring Michigan legislators to disclose any spending items they direct to specific projects or organizations. This requirement applies directly to all state legislators and state agencies when allocating funds based on legislative direction. The key mechanism mandates that this disclosure form be completed for every instance of directed spending, ensuring consistent public transparency. The bill aims to clarify and document how lawmakers influence state fund allocation without altering the underlying spending authority.

Topics ✓ Budget & TaxesSupports Budget & TaxesEnhances transparency in legislative spending, promoting fiscal accountability through mandatory disclosure of directed funds per bill's disclosure requirements.85% confidence

Sub-Topics Appropriations

signed · Michigan · House Oct 8, 2025

HB 4182: Use tax: exemptions; motor fuel sales; exempt. Amends sec. 21 of 1937 PA 94 (MCL 205.111) & adds sec. 4gg. TIE BAR WITH: HB 4180'25, HB 4181'25, HB 4183'25, SB 0578'25

This bill (HB 4182) amends Michigan's use tax law to add a new exemption for motor fuel sales. It specifically creates a new section (4gg) in the law to exempt certain motor fuel transactions from use tax. The bill directly affects businesses selling motor fuel, potentially reducing their tax burden on qualifying sales. However, the provided context does not specify the exact scope of the exemption or who qualifies for it, so the summary cannot detail the precise mechanisms or affected parties beyond the general tax exemption for motor fuel.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCreates tax exemption for motor fuel sales, reducing state tax revenue. Directly limits tax collection efforts, aligning with 'oppose' stance on fiscal management.95% confidence

Sub-Topics Sales Tax Tax Incentives

signed · Michigan · House Oct 8, 2025

HB 4180: Sales tax: exemptions; motor fuel sales; exempt. Amends secs. 6a & 25 of 1933 PA 167 (MCL 205.56a & 205.75) & adds sec. 4gg. TIE BAR WITH: HB 4181'25, HB 4182'25, HB 4183'25, SB 0578'25

HB 4180 removes the sales tax requirement for motor fuel sales in Michigan by amending the state tax code. It directly affects gas stations and fuel retailers by exempting motor fuel transactions from the standard sales tax. The bill creates a new tax exemption provision (Section 4gg) in the tax code, specifically excluding motor fuel sales from taxable transactions. This change became effective immediately upon the Governor's approval on October 7, 2025.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRemoves sales tax on motor fuel, reducing state tax revenue and weakening tax collection under Budget & Taxes.95% confidence ✗ TransportationOpposes TransportationBill exempts motor fuel sales from sales tax, removing a key revenue source for transportation infrastructure funding (e.g., road maintenance), directly weakening transportation funding mechanisms.85% confidence

Sub-Topics Sales Tax Tax Incentives Transportation Funding

in committee · Michigan · Senate Jan 8, 2025

SB 12: Individual income tax: deductions; definition of dependent; include fetus. Amends sec. 8 of 1967 PA 281 (MCL 206.8).

SB 12 amends Michigan's Individual Income Tax Act (MCL 206.8) to add a fetus as a qualifying dependent for state tax deductions, effective for tax years beginning January 1, 2025. It defines a "dependent" to include a fetus that has completed at least 12 weeks of gestation, is under physician care since that point, and is observed by a physician through the end of the tax year. This change directly affects Michigan taxpayers who claim dependents on their state income tax returns, allowing deductions for qualifying fetuses meeting the specified medical criteria. The bill does not alter federal tax law but modifies state-level dependent definitions and deductions.

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tax deductions for dependents, providing potential relief to taxpayers claiming fetal dependents under new definition.85% confidence

Sub-Topics Income Tax

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in committee · Michigan · Senate Jan 8, 2025

SB 13: Individual income tax: credit; beginning farmer tax credit; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding sec. 279.

SB 13 creates a tax credit for Michigan taxpayers who sell or rent agricultural assets (like land, equipment, or livestock) to qualifying "beginning farmers." Owners can claim up to 5% of a sale price (capped at $32,000) or 10-15% of rental income for the first three years (capped at $7,000 or $10,000 annually), subject to a $5 million total annual limit. To qualify, the recipient must be certified as a beginning farmer (a resident new to farming within 10 years, with net worth under $800,000 adjusted for inflation, and not related to the asset owner). The credit requires state certification and annual reporting to track its impact on supporting new farmers.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates targeted tax credit reducing taxable income for agricultural transactions, aligning with tax relief indicators for qualifying farmers.90% confidence

Sub-Topics Tax Credits

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in committee · Michigan · Senate Feb 19, 2025

SB 91: Individual income tax: deductions; exclusion of certain gratuities for tipped employees; provide for. Amends sec. 30 of 1967 PA 281 (MCL 206.30).

This bill (SB 91) amends Michigan's income tax code to exclude certain gratuities received by tipped employees from taxable income. It directly affects Michigan workers in service industries (like restaurants) who earn tips, allowing them to deduct specific tip income from their taxable earnings. The key provision modifies Section 30 of the Income Tax Act to add this exclusion, reducing the taxable income for eligible tipped workers. This change aligns Michigan's tax treatment with federal guidelines for tip income deductions.

Topics ✓ Budget & TaxesSupports Budget & TaxesExcludes tips from taxable income for tipped workers, reducing their tax burden. Direct tax relief for lower-income service industry employees.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExcludes tips from taxable income for tipped workers, reducing tax burden and increasing take-home pay - directly supports workers' financial well-being in labor context.92% confidence

Sub-Topics Income Tax Labor Standards Minimum Wage

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in committee · Michigan · Senate Feb 27, 2025

SB 110: Property tax: exemptions; homestead property tax exemption for the surviving spouse of an emergency first responder killed in the line of duty; provide for. Amends sec. 7b of 1893 PA 206 (MCL 211.7b).

SB 110 adds a property tax exemption for the surviving spouse of an emergency first responder (police, firefighter, etc.) who died while on duty. It directly affects surviving spouses who own their primary residence (homestead) and do not remarry. The bill expands existing homestead tax exemptions - previously limited to disabled veterans and their spouses - to include this group, allowing them to avoid property taxes on their home indefinitely. To qualify, the spouse must apply annually by December 31, and the exemption applies to any homestead property they own, including property acquired after the first responder's death.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax exemption for surviving spouses of first responders, offering tax relief to eligible homeowners under Budget & Taxes policy.95% confidence

Sub-Topics Property Tax Tax Incentives

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in committee · Michigan · House Feb 26, 2025

HB 4111: Property tax: exemptions; personal property constituting certain hydrogen fuel pumps; exempt. Amends secs. 27 & 34d of 1893 PA 206 (MCL 211.27 & 211.34d) & adds sec. 9q. TIE BAR WITH: HB 4112'25

HB 4111 exempts certain hydrogen fuel pumps from Michigan property taxes after December 31, 2025. It directly affects businesses installing qualifying hydrogen fueling infrastructure, such as stations filling vehicles with hydrogen. The bill defines a "qualified hydrogen fuel pump" as equipment meeting H35 (35 MPa) or H70 (70 MPa) pressure standards for dispensing hydrogen into motor vehicles. This exemption applies to the pumps themselves (classified as personal property), not the land or buildings they occupy, and is added to Michigan’s property tax law under Section 9q. The change aims to support development of hydrogen fueling infrastructure by reducing operational costs for businesses.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts hydrogen fuel pumps from property tax, providing tax relief for businesses investing in green infrastructure, directly advancing fiscal policy supporting clean energy adoption.95% confidence ✓ EnergySupports EnergyExempts hydrogen fuel pumps from property tax, directly incentivizing clean energy infrastructure adoption for hydrogen-powered vehicles per H35/H70 standards.95% confidence ✓ EnvironmentSupports EnvironmentExempts hydrogen fuel pumps from property tax, incentivizing clean energy infrastructure adoption to reduce emissions from transportation.85% confidence ✓ TransportationSupports TransportationExempts hydrogen fuel pumps from property tax to incentivize installation of sustainable fueling infrastructure, directly supporting clean transportation adoption and alternative fuel vehicle infrastructure development.95% confidence

Sub-Topics Property Tax

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in committee · Michigan · House Mar 4, 2025

HB 4142: Taxation: other; digital advertising services tax act; create. Creates new act.

HB 4142 would impose a progressive tax on large digital advertising companies operating in Michigan, with rates ranging from 2.5% to 10% based on their global annual revenue. Companies with over $1 million in annual Michigan digital ad revenue (defined as revenue from banner ads, search ads, and similar services) would be required to file annual tax returns starting in 2026, with quarterly estimated payments for those exceeding the threshold. The tax applies to revenue derived from digital advertising services accessed by Michigan users, calculated using a specific apportionment formula. Collected revenue would fund Michigan's school aid and transportation funds.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates new tax on digital ad companies to generate revenue, aligning with fiscal responsibility and budget strengthening through new tax collection.90% confidence

Sub-Topics Business Taxes

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in committee · Michigan · House Feb 26, 2025

HB 4121: Property tax: other; locally adopted cap on a local unit's own authority to levy a property tax millage; prohibit. Amends 1893 PA 206 (MCL 211.1 - 211.155) by adding sec. 34f.

HB 4121 prohibits local governments (counties, cities, townships, villages) from adopting property tax caps that automatically reduce tax rates when revenue hits a fixed dollar limit. It voids any existing local tax cap with this automatic reduction feature and requires local units to disregard such caps. The bill specifically targets caps imposed by local charter, ordinance, or policy - not state-mandated limits - making them unenforceable. This change ensures local tax revenue limits cannot trigger automatic rate cuts based solely on annual dollar amounts.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill removes automatic property tax reduction caps, preventing local revenue limitations and supporting stable tax collection for municipalities.92% confidence

Sub-Topics Property Tax Revenue

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