HB 4231 redirects $75 million annually from Michigan's 4% general sales tax (starting fiscal year 2025) into the Public Safety and Violence Prevention Fund. It also specifies that aviation fuel tax revenue must be split 35% to the state aeronautics fund and 65% to qualified airport funds. Additionally, computer software sales tax revenue must fund Michigan's health initiatives at $9-12 million yearly. These changes directly affect state budget allocations, airport operators, and public safety programs without altering tax rates or creating new taxes.
HB 4312 amends Michigan's sales tax distribution by directing 8.62% of the 4% general sales tax revenue to the Revenue Sharing Trust Fund starting October 1, 2025, with funds distributed to cities, villages, townships, and counties. It maintains existing allocations for aviation fuel tax (35% to the state aeronautics fund, 65% to qualified airport funds) and sets a minimum $9 million annual deposit from computer software sales tax into the Michigan Health Initiative Fund. The bill also clarifies adjustments for school aid fund revenue losses due to specific tax exemptions. These changes directly affect local governments, airports, and health programs through revised tax revenue streams.
SB 498 creates a temporary sales tax holiday for eligible back-to-school items in Michigan, affecting buyers of qualifying clothing and school supplies purchased between August 8-24 annually. It exempts items under $100 (clothing) or $20 (school supplies) from sales tax during this period, allowing buyers to claim refunds via receipts or affidavits within 30 days. Exclusions include clothing accessories, sports gear, protective equipment, and business-use items (except teacher classroom purchases). The holiday applies to all eligible years starting January 1, 2025, through December 31, 2030.
SB 499 creates a temporary tax holiday for eligible back-to-school items in Michigan. It exempts clothing priced under $100 and school supplies under $20 from use tax when purchased between August 8-24 each year (starting in 2025). To claim the refund, purchasers must submit receipts showing the item details, price, and tax paid within 30 days of purchase. This policy directly affects Michigan residents buying qualifying school items during the designated period, excluding accessories, sports equipment, and business-use items.
This bill requires online marketplaces (like Amazon or Etsy) to collect and pay Michigan's sales tax on all sales they facilitate, regardless of whether the individual seller has a physical presence in the state. It shifts tax audit responsibility from sellers to the marketplace platform, and prohibits class-action lawsuits against platforms over tax overpayments. The bill also creates a new rule allowing delivery services (e.g., food or package delivery apps) to deduct tax they paid to sellers from their own tax bill under specific conditions. These changes apply to all marketplace transactions, including those involving delivery networks.
HB 4026 exempts firearm safety devices from Michigan's sales and use tax through December 31, 2024, directly affecting gun owners purchasing these devices. The bill defines "firearm safety devices" as trigger locks, secure storage containers (like gun safes or lockboxes requiring keys/combinations), but excludes display cases. Retail sellers must provide written notices to buyers and post visible signage at points of sale explaining the tax exemption. This is a temporary measure with a sunset date, not a permanent policy change.
HB 4260 redirects $115 million annually from Michigan's 4% general sales tax revenue into the Public Safety and Violence Prevention Fund starting with the 2025-2026 fiscal year. This change affects state budget allocations, shifting funds previously going to the general fund toward public safety and violence prevention programs. The bill amends Michigan's General Sales Tax Act (MCL 205.75) to establish this specific annual transfer, with the amount adjusted based on actual tax collections. It does not create new taxes but reallocates existing revenue streams.
HB 4025 extends Michigan's sales tax exemption for firearm safety devices until December 31, 2024. It defines "firearm safety devices" as equipment (like gun safes, lockboxes, or trigger locks) designed to prevent unauthorized access or operation of firearms, but excludes display cabinets. Retail sellers must provide written notices to purchasers and post conspicuous signage at points of sale about the tax exemption. The bill also requires the state to annually compensate the school aid fund for any revenue lost due to this exemption.
HB 4972 adds baby diapers to Michigan's list of sales tax-exempt items under the General Sales Tax Act (MCL 205.54a). The bill specifically exempts the sale of tangible personal property (like diapers) from sales tax when sold to consumers. This change directly affects retailers selling diapers and consumers purchasing them, as they will no longer pay state sales tax on these items. The exemption aligns with existing tax rules for certain essential goods but specifically targets diapers as a new category. The bill amends Section 4a(1)(a) of the General Sales Tax Act to include this provision.
SB 561 amends Michigan's sales tax law to change how revenue is distributed. It allocates 8.6% of the 4% general sales tax (starting October 1, 2025) to a new Revenue Sharing Trust Fund for distribution to cities, villages, townships, and counties. The bill also directs computer software sales tax revenue ($9-12 million annually) to the Michigan Health Initiative Fund and splits aviation fuel tax revenue (35% to the state aeronautics fund, 65% to airport funds). These changes affect local governments, public schools (via school aid fund allocations), airports, and health programs, without altering the overall tax rates.
