Bill Text: MI HB5825 | 2017-2018 | 99th Legislature | Introduced

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Bill Title: Individual income tax; credit; military service tax credit; create. Amends 1967 PA 281 (MCL 206.1 - 206.713) by adding sec. 280.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2018-04-19 - Bill Electronically Reproduced 04/18/2018 [HB5825 Detail]

Download: Michigan-2017-HB5825-Introduced.html

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HOUSE BILL No. 5825

 

 

April 18, 2018, Introduced by Rep. Kosowski and referred to the Committee on Tax Policy.

 

     A bill to amend 1967 PA 281, entitled

 

"Income tax act of 1967,"

 

(MCL 206.1 to 206.713) by adding section 280.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 280. (1) For tax years that begin on and after January 1,

 

2019, subject to the limitations under this section, a qualified

 

taxpayer may claim a credit of $750.00 against the tax imposed by

 

this part. The credit allowed under this section shall be reduced

 

by 10% for each qualified taxpayer whose adjusted gross income

 

exceeds $50,000.00 and by an additional 10% for each increment of

 

$1,000.00 of adjusted gross income in excess of $50,000.00.

 

     (2) If the credit allowed under this section exceeds the tax

 

liability of the qualified taxpayer for the tax year, that portion

 

of the credit that exceeds the tax liability shall not be refunded.

 

     (3) As used in this section:

 

     (a) "Qualified taxpayer" means a veteran who separated from

 

military service during the tax year and who satisfies at least 1

 

of the following:

 

     (i) Has served at least 20 years in the military.

 

     (ii) Has been determined by the United States Department of

 

Veterans Affairs to be permanently and totally disabled as a result

 

of military service and entitled to veterans' benefits at the 100%

 

rate.

 

     (iii) Has been determined by the United States Department of

 

Veterans Affairs to be eligible for pension or other retirement

 

benefits for services in the United States Armed Forces.

 

     (b) "Veteran" means an individual who served in the United

 

States Armed Forces, including reserve components, and was

 

discharged or released under conditions other than dishonorable.