HB 5439 creates the "Homeless Advocacy Fund" within Michigan's Department of Treasury, funded by money from the state's individual income tax system (specifically Section 435 of the 1967 Income Tax Act). The fund will provide annual support to the Michigan Coalition Against Homelessness for programs, policy improvements, and direct services aimed at ending homelessness. All money in the fund must be used solely for this purpose, with unspent funds rolling over each year instead of expiring. The bill requires companion legislation (HB 5440) to take effect.
HB 5440 would allow Michigan taxpayers to voluntarily contribute $5 or more from their state income tax refund to a new "homeless advocacy fund" starting with the 2026 tax year. The bill amends the tax code to add this specific checkoff option on income tax forms, alongside existing charitable designations like the Children's Trust Fund. Funds designated for this new fund would be distributed directly to homelessness services, with the requirement that the fund must raise at least $50,000 annually to remain on the tax form. This change affects all Michigan taxpayers who file individual income tax returns and choose to allocate a portion of their refund to this new cause.
HB 5359 creates tax credits for Michigan retail dealers selling specific ethanol-blended fuels. It provides a $0.05 per gallon credit for E15 fuel (10-15% ethanol) and $0.085 per gallon for E85 fuel (50-83% ethanol) sold through metered pumps at their retail sites. The credit applies to tax years 2026-2030 and can be refunded if it exceeds the dealer's tax liability. This directly affects motor fuel retailers who sell these ethanol blends to the public, with eligibility defined under Michigan's motor fuel tax act.
This bill, HB 4313, proposes an amendment to Michigan's Income Tax Act of 1967. Its stated purpose is to provide a new individual income tax deduction for residents who live in a legislative district with a vacant seat. The provided bill text outlines the existing structure for calculating taxable income and various current deductions, but it does not include the specific language or mechanisms for the proposed deduction related to vacant legislative seats. Therefore, the details of how this deduction would be implemented are not available in this truncated text.
SB 584 would change Michigan's tax law to make it optional for pension administrators to withhold income tax from pension or annuity payments. Currently, pension providers must withhold tax under Section 703 of the Income Tax Act, but this bill would allow them to choose whether to withhold. The change directly affects pension administrators (like retirement plan providers) and recipients of pension payments, as it removes a mandatory withholding requirement. The bill amends Section 703 of the 1967 Income Tax Act (MCL 206.703) without altering other withholding rules for employers, flow-through entities, or casinos.
HB 5214 creates a new tax credit for Michigan family caregivers, allowing eligible taxpayers to claim up to $2,000 (30% of qualified expenses, whichever is less) against their state income tax for care provided to qualifying family members. It directly affects Michigan residents who provide unpaid care for family members living at home (not in facilities) with specific health needs, such as inability to perform two or more daily activities or requiring supervision due to cognitive impairment. Qualified expenses include respite care, assistive devices, home modifications, and transportation, but exclude general household maintenance. To claim the credit, caregivers must document expenses, provide family member details, and meet income limits ($50,000 single / $100,000 joint). The credit applies to tax years beginning January 1, 2026.
SB 115 creates a 50% tax credit for individual Michigan taxpayers who invest in qualifying Michigan businesses, with a maximum credit of $3,000 per business and $3,000 total per tax year. Taxpayers must obtain certification from the Michigan Strategic Fund within 60 days of investing to claim the credit. The credit can be carried forward for up to 10 years if it exceeds the taxpayer’s current tax liability. Qualifying businesses must be headquartered in Michigan with at least 80% of revenue, assets, and employees located in the state, as certified by the Strategic Fund.
SB 125 amends Michigan's income tax code (sections 30(f)(iv) and related provisions) to adjust how retirement benefit deduction limits are calculated. It changes the annual adjustment formula for the maximum deductible retirement income ($42,240 for single filers, $84,480 for joint filers) to tie directly to the U.S. Consumer Price Index, replacing previous methods. This affects Michigan taxpayers claiming retirement income deductions, including those receiving National Guard benefits (already deductible under section 30(e)(iii)). The bill updates the existing deduction mechanism without creating new benefits or altering eligibility.
HB 4504 amends Michigan's income tax act to modify the state historic preservation tax credit program. It allows qualified taxpayers to receive a state income tax credit of 25% or 30% for expenses incurred rehabilitating historic resources, depending on the property type. The bill establishes an application process through the state historic preservation office and sets annual limits on the total credits issued. These limits are $5 million per year through 2025, increasing to $100 million annually starting in 2026, with specific amounts allocated to different categories of historic resources.
HB 5293 creates a tax credit for Michigan employers that create new, qualified jobs. Employers can claim a credit equal to 50% of income tax withheld on new jobs meeting specific criteria (permanent, full-time positions paying at least 150% of the local "prosperity region" median wage, exceeding the employer's September 2025 job count). The credit applies to tax years 2026-2035, with a $50 million annual cap and minimum allocations for small ($10M), medium ($15M), and large ($25M) employers. Employers must submit claims by March 15 each year, and unused credits can be carried forward for up to three years. This directly affects employers in Michigan’s designated economic regions seeking to expand their workforce.
