Bill Text: MI HB6267 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Corporate income tax: credits; distributor credit for returnable containers; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.713) by adding secs. 279 & 679.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-12-02 - Referred To Second Reading [HB6267 Detail]
Download: Michigan-2019-HB6267-Introduced.html
HOUSE BILL NO. 6267
September 29, 2020, Introduced by Rep. Iden and
referred to the Committee on Regulatory Reform.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
(MCL 206.1 to 206.713) by adding sections 279 and 679.
the people of the state of michigan enact:
Sec. 279. (1) For tax years that begin
after December 31, 2020, a taxpayer that is a distributer who originates a
deposit on a beverage container may claim a credit against the tax
imposed under this part equal to the sum of the following:
(a)
Except as otherwise provided under this subdivision, 3 cents per returnable
container sold during the tax year. Beginning with the 2022 tax year and each
tax year after 2022, the amount of the credit allowed under this subdivision
shall be adjusted by the percentage increase in the United States Consumer
Price Index for the immediately preceding calendar year.
(b)
The refund value established under section 2 of 1976 IL 1, MCL 445.572, per
returnable container over-redeemed during the tax year.
(2)
The taxpayer shall attach the report required under section 3a of 1976 IL 1,
MCL 445.573a, to the annual return filed under this part on which a credit
under this section is claimed.
(3)
If the distributer is a partnership, limited liability company, or subchapter S
corporation the credit under this section may be claimed against the partner's,
member's, or shareholder's tax liability under this part based on the
partner's, member's, or shareholder's proportionate share of ownership or an
alternative method approved by the department. If the credit allowed by this
section exceeds the tax liability of the taxpayer for the tax year, that portion
of the credit that exceeds the tax liability of the taxpayer for the tax year
shall be refunded.
(4)
As used in this section:
(a)
"Beverage container", "distributer", and "returnable
container" mean those terms as defined in section 1 of 1976 IL 1, MCL
445.571.
(b)
"United States Consumer Price Index" means the United States Consumer
Price Index for all urban consumers as defined and reported by the United
States Department of Labor, Bureau of Labor Statistics.
Sec. 679. (1) For tax years that begin
after December 31, 2020, a taxpayer that is a distributer who originates a
deposit on a beverage container may claim a credit against the tax imposed
under this part equal to the sum of the following:
(a)
Except as otherwise provided under this subdivision, 3 cents per returnable
container sold during the tax year. Beginning with the 2022 tax year and each
tax year after 2022, the amount of the credit allowed under this subdivision
shall be adjusted by the percentage increase in the United States Consumer
Price Index for the immediately preceding calendar year.
(b)
The refund value established under section 2 of 1976 IL 1, MCL 445.572, per
returnable container over-redeemed during the tax year.
(2)
The taxpayer shall attach the report required under section 3a of 1976 IL 1,
MCL 445.573a, to the annual return filed under this part on which a credit
under this section is claimed.
(3)
If the credit allowed by this section exceeds the tax liability of the taxpayer
for the tax year, that portion of the credit that exceeds the tax liability of
the taxpayer for the tax year shall be refunded.
(4)
As used in this section:
(a)
"Beverage container", "distributer", and "returnable
container" mean those terms as defined in section 1 of 1976 IL 1, MCL
445.571.
(b) "United States Consumer Price Index" means the United States Consumer Price Index for all urban consumers as defined and reported by the United States Department of Labor, Bureau of Labor Statistics.
