Budget & Taxes (Tax Incentives)

in committee · Michigan · House Aug 27, 2026

HB 6270: Sales tax: exemptions; exemption for building materials purchased for the construction of a new single-family residence; provide for. TIE BAR WITH: HB 6269'26

Michigan House Bill 6270 creates a temporary sales tax exemption for the purchase of building materials used to construct new single-family homes or small multi-family dwellings with up to four units. This two-year benefit applies to both homeowners and construction companies, provided that a valid building permit is in place at the time of the material sale. The bill requires state officials to submit annual reports to the legislature detailing how many new homes were built, jobs created, and the impact on state tax revenue due to this exemption.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill creates a temporary sales tax exemption for building materials, directly reducing state tax revenue and limiting fiscal resources.85% confidence

Sub-Topics Revenue Sales Tax Tax Incentives

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in committee · Michigan · House Aug 11, 2026

HB 6228: Economic development: tax increment financing; tax increment financing act; amend to exempt museum authorities. Amends secs. 201, 301, 402, 523, 603, 703 & 803 of 2018 PA 57 (MCL 125.4201 et seq.). TIE BAR WITH: HB 6226'26, HB 6227'26

HB 6228 amends the Michigan Tax Increment Financing Act to exclude property taxes levied for history museum authorities from the pool of tax increment revenues that local development authorities can capture. This change directly affects downtown development, local development finance, and other TIF authorities by preventing them from using captured property value growth to fund projects in areas where a history museum authority has already established its own tax base. The bill applies this exclusion across multiple sections of the act governing different types of development zones, ensuring that these specific museum-related taxes are not diverted to other municipal economic development efforts.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill restricts local government fiscal tools by excluding museum authority taxes from TIF revenue pools, limiting funding options for development projects.75% confidence

Sub-Topics Tax Incentives Tags Economic Development

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in committee · Michigan · House Aug 27, 2026

HB 6269: Use tax: exemptions; exemption for building materials purchased for the construction of a new single-family residence; provide for. TIE BAR WITH: HB 6270'26

Michigan House Bill 6269 amends the state's use tax act to exempt qualified building materials from taxation when purchased for the construction of new single-family residences or small multi-family homes with up to four units. This exemption applies to both home owners and developers, as well as contractors building for others, provided a valid building permit is in place at the time of purchase. The bill includes safeguards that require taxpayers to pay back any exempted taxes if the materials are not used for the intended residence, if the project is abandoned within 15 months, or if the building permit expires before a certificate of occupancy is issued. Additionally, the state Department of Treasury must submit annual reports to the legislature detailing how this tax break affects housing construction, job creation, and state revenue.

Topics ✗ Budget & TaxesOpposes Budget & TaxesThe bill creates a specific use tax exemption for building materials, which reduces state tax revenue and provides a fiscal benefit to home builders and developers.85% confidence ✓ HousingSupports HousingExempts building materials from use tax for new single-family and small multi-family homes, lowering construction costs to encourage housing development.85% confidence

Sub-Topics Revenue Sales Tax Tax Incentives Building Codes

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in committee · Michigan · House Jun 2, 2026

HB 6006: Property tax: personal property; retail sales and food processing operations; exempt from personal property tax. Amends sec. 9 of 1893 PA 206 (MCL 211.9).

HB 6006 amends Michigan's general property tax act to clarify that retail sales and food processing operations are excluded from the personal property tax exemption for agricultural operations. This change ensures that only property directly used in farming activities, such as livestock raising or crop cultivation, remains exempt, while equipment used for selling goods or processing food becomes taxable. The bill also retains specific exemptions for various entities, including charitable organizations, libraries, veterans' groups, and households, while adding detailed requirements for methane digester exemptions on farms.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill expands personal property tax liability on retail and food processing operations, increasing revenue collection rather than providing relief or limiting taxes.85% confidence

Sub-Topics Property Tax Tax Incentives

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in committee · Michigan · House Mar 11, 2026

HB 5696: Property tax: exemptions; personal property used in agriculture operations; exclude property used to cultivate marihuana. Amends sec. 9 of 1893 PA 206 (MCL 211.9).

This bill amends Michigan's property tax law to clarify that property used to cultivate marijuana is not eligible for the agricultural property tax exemption. It directly affects farmers and agricultural operations by explicitly removing cannabis cultivation from the list of activities that qualify for tax-exempt status under the agricultural operations provision. The legislation adds a specific exclusion clause to the existing definition of agricultural operations, ensuring that while traditional farming activities remain exempt, marijuana cultivation does not receive the same tax benefits. The bill does not create new exemptions or change tax rates, but rather clarifies which agricultural uses are excluded from tax relief.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill restricts agricultural property tax exemptions by excluding marijuana cultivation, limiting tax relief benefits for certain agricultural operations.90% confidence

Sub-Topics Property Tax Tax Incentives

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in committee · Michigan · House Feb 26, 2026

HB 5572: Property tax: exemptions; exemption of real and personal property owned and occupied by a nonprofit corporation; modify. Amends sec. 7o of 1893 PA 206 (MCL 211.7o).

HB 5572 modifies Michigan's property tax exemption rules to expand eligibility for certain nonprofits. It adds a new exemption for conservation organizations maintaining nature areas open to the public for activities like hiking and bird watching. The bill also clarifies that nonprofits providing healthcare services (such as nursing homes, skilled nursing facilities, or adult foster care) qualify for tax exemptions if they meet specific licensing requirements. This change directly affects nonprofit hospitals, educational institutions, conservation groups, and healthcare providers seeking property tax relief.

Topics ✗ Budget & TaxesOpposes Budget & TaxesExpands property tax exemptions for nonprofits, reducing state tax revenue and weakening government fiscal resources.92% confidence ✓ EnvironmentSupports EnvironmentExpands tax exemptions for conservation nonprofits maintaining public nature areas (hiking/bird watching), directly advancing environmental conservation efforts.95% confidence ✓ HealthcareSupports HealthcareClarifies tax exemptions for healthcare nonprofits (nursing homes, adult foster care), reducing operational costs to support service provision.85% confidence

Sub-Topics Property Tax Tax Incentives Conservation Long-Term Care

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in committee · Michigan · House Jan 22, 2026

HB 5463: Economic development: plant rehabilitation; requirements related to an industrial facilities exemption certificate; modify. Amends sec. 7 of 1974 PA 198 (MCL 207.557). TIE BAR WITH: HB 5464'26

HB 5463 amends Michigan's industrial facilities exemption certificate process under MCL 207.557. It clarifies when tax exemptions for new or replacement industrial facilities become effective, particularly when applications face delays. The bill allows certificates to take effect as early as December 31 of the year an application is received (if complete by October 31), rather than waiting until the next calendar year. This directly affects businesses seeking tax exemptions on industrial property and local governments administering the program. The changes aim to reduce administrative delays without altering eligibility requirements.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill streamlines tax exemptions for industrial facilities, reducing state tax revenue by allowing earlier exemption effectiveness.90% confidence

Sub-Topics Tax Incentives

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in committee · Michigan · House Jan 22, 2026

HB 5461: Economic development: plant rehabilitation; definition of speculative building; modify. Amends sec. 3 of 1974 PA 198 (MCL 207.553).

HB 5461 amends Michigan's 1974 Plant Rehabilitation Act (MCL 207.553) by clarifying the definition of "speculative building" to prevent misuse of tax exemption programs. It specifically targets buildings constructed before identifying a tenant (new facilities) or existing buildings meeting strict vacancy, district, and population criteria (existing facilities). The bill directly affects industrial property owners seeking tax exemptions by tightening eligibility rules for "speculative" structures. This change ensures tax exemptions apply only to genuine rehabilitation or development projects, not buildings built without committed users.

Topics ✗ Budget & TaxesOpposes Budget & TaxesTightens tax exemption eligibility for industrial properties, restricting potential tax breaks by clarifying 'speculative building' to prevent misuse of tax programs.95% confidence

Sub-Topics Tax Incentives

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in committee · Michigan · House Dec 9, 2025

HB 5305: Economic development: commercial redevelopment; commercial redevelopment certificate; extend sunset. Amends sec. 18 of 1978 PA 255 (MCL 207.668).

HB 5305 extends the deadline for granting new tax exemptions under Michigan's Commercial Redevelopment Act from 2025 to 2030. This means developers can still apply for new exemptions until December 31, 2030, but no new exemptions will be approved after that date. Existing exemptions granted before 2030 will remain valid until their original expiration dates. The bill amends Section 18 of the Commercial Redevelopment Act (MCL 207.668) to update this sunset provision.

Topics ✗ Budget & TaxesOpposes Budget & TaxesExtends tax exemptions for commercial redevelopment, reducing state revenue by allowing additional tax breaks until 2030.90% confidence

Sub-Topics Tax Incentives

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signed · Michigan · Senate Jul 29, 2026

SB 721: Economic development: commercial redevelopment; commercial redevelopment act; modify. Amends secs. 9, 12a, 16 & 18 of 1978 PA 255 (MCL 207.659 et seq.).

SB 721 amends Michigan's Commercial Redevelopment Act to update property tax exemption rules for commercial facilities. It limits total exemption periods to 12 years (including extensions), requires local governments to document criteria for renewing exemptions, and extends the deadline for new exemptions from 2025 to 2035. The bill also allows the state treasurer to temporarily exclude up to half the education tax mills for qualifying facilities for up to 6 years to promote job growth, with a yearly cap of 45 such exclusions. Local governments must annually report on exemption impacts, including property values and job creation. This directly affects commercial businesses seeking tax benefits, local governments issuing exemptions, and state tax administration.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill allows temporary exclusion of education tax mills for commercial facilities, reducing state tax revenue to promote job growth, directly weakening tax collection.90% confidence

Sub-Topics Property Tax Tax Incentives Tags Economic Development