This bill creates a new tax credit for Michigan employers who pay student loans for employees who did not graduate from an in-state high school or earn a degree from an in-state college. To qualify, the employee must have moved to Michigan to work for the employer after obtaining a bachelor's degree or higher from an out-of-state institution, and the employer can claim a credit equal to 25% of the loan payments made, up to a limit of 20% of the average yearly tuition at a public Michigan university. Employers must submit specific documentation to the state department to prove the payments and employee details, and any unused portion of the credit can be refunded to the employer. This measure is part of a larger package of related bills aimed at encouraging companies to hire graduates from outside the state.
This bill allows Michigan employers to claim a tax credit equal to 50% of student loan payments they make on behalf of employees who graduated from in-state schools and work for the company. The credit is limited to 20% of the average yearly tuition at a public university in the state for each employee per year. To receive the benefit, employers must submit detailed proof of payments and employee information to the state tax department. The bill also requires that any unused portion of the credit be refunded to the employer rather than carried forward. It is part of a package of related bills that must all pass together to take effect.
This bill proposes to increase Michigan's corporate income tax rate from 6.0% to 10.0% starting on October 1, 2026. It also modifies how the tax base is calculated by adding back certain interest and dividend income while removing deductions for oil and gas production expenses. Additionally, the legislation establishes a specific distribution plan for the revenue collected, directing funds to the general fund, housing initiatives, placemaking projects, and a strategic reserve.
HB 5991 amends Michigan's corporate income tax law to restore and clarify the state's film incentive credit program. The bill defines specific terms related to film production, such as qualified productions, accredited production certificates, and digital interactive media, to establish clear rules for eligibility. It requires applicants to provide detailed economic impact data, including job creation statistics and expenditure breakdowns, to receive tax credits. This legislation directly affects film and digital media companies operating in Michigan that wish to claim financial incentives for local production activities.
HB 5925 amends Michigan's corporate income tax law to require companies to add back certain expenses related to outsourcing and relocating business operations out of the state. Specifically, the bill mandates that businesses must include specified outsourcing expenses in their taxable income if those costs were incurred to eliminate a trade or business located in Michigan or to relocate a business that was previously in the state to a new location outside of it. The legislation defines these eligible expenses as costs associated with ending or moving a business, such as permit fees, lease brokerage fees, and equipment installation costs. This change directly affects corporations with business activity in Michigan that have undertaken outsourcing or relocation activities, requiring them to pay additional state taxes on these specific expenditures.
This bill amends Michigan's Obsolete Property Rehabilitation Act to clarify how property taxes are calculated and distributed for buildings that have been rehabilitated. It establishes a specific annual tax on owners of these properties, with the collected funds directed to the state school aid fund rather than local taxing units. The legislation also creates exemptions for facilities located in Renaissance or HOPE zones and allows local governments to grant temporary tax relief to qualified start-up businesses operating in rehabilitated buildings.
HB 5853 requires cities in Michigan that impose an income tax to allow residents and businesses in designated Renaissance or HOPE zones to claim a tax deduction. The bill mandates that city income tax ordinances be updated to let qualified taxpayers subtract specific amounts of income earned within these zones, including wages, capital gains, and lottery winnings. This change directly affects individuals and businesses operating in areas officially recognized for economic revitalization, providing them with a financial incentive tied to their location. By amending state law, the bill ensures that local tax rules align with existing state-level incentives for these designated zones.
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.
HB 5517 creates a $0.005 per returnable beverage container tax credit for distributors who charge a deposit on containers, effective for tax years beginning January 1, 2026. The credit adjusts annually based on the U.S. Consumer Price Index starting in 2027. Distributors must attach a specific report (per 1976 IL 1) with their tax return to claim the credit, and any excess credit is refunded. This directly affects beverage distributors handling returnable containers in Michigan.
SB 793 amends Michigan's industrial facility tax law to clarify key definitions for tax exemption eligibility. It updates terms like "restoration" (major renovations to industrial properties, including structural improvements) and "speculative building" (new structures built without a specific tenant) to better align with current development practices. These changes directly affect local governments, economic development organizations, and businesses seeking tax benefits for industrial property improvements. The bill focuses on making the program's rules clearer without altering the core tax exemption structure.
