HOUSE BILL No. 5529


     December 13, 2001, Introduced by Rep. Kolb and referred to the Committee on Tax Policy.


        A bill to amend 1975 PA 228, entitled

   "Single business tax act,"

   (MCL 208.1 to 208.145) by adding section 39d.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           SEC. 39D.  (1) SUBJECT TO SUBSECTION (2), FOR TAX YEARS THAT

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      BEGIN AFTER DECEMBER 31, 2001, A TAXPAYER MAY CLAIM A CREDIT

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      AGAINST THE TAX IMPOSED BY THIS ACT EQUAL TO THE COSTS PAID BY

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      THE TAXPAYER IN THE TAX YEAR TO PROVIDE CHILD CARE SERVICES FOR

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      THE TAXPAYER'S EMPLOYEES AT A FACILITY THAT IS OPENED BY THE TAX-

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      PAYER, LICENSED UNDER 1973 PA 116, MCL 722.111 TO 722.128, AND

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      LOCATED AT THE TAXPAYER'S PLACE OF BUSINESS.

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           (2) THE COST TO PROVIDE CHILD CARE SERVICES USED TO CALCU-

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      LATE THE CREDIT UNDER THIS SECTION SHALL BE LESS THAN OR EQUAL TO

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      COSTS TO PROVIDE COMPARABLE CHILD CARE SERVICES IN THE SAME

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      LOCALITY.


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           (3) IF THE CREDIT ALLOWED UNDER THIS SECTION FOR THE TAX

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      YEAR AND ANY UNUSED CARRYFORWARD OF THE CREDIT ALLOWED BY THIS

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      SECTION EXCEED THE TAXPAYER'S TAX LIABILITY FOR THE TAX YEAR,

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      THAT PORTION THAT EXCEEDS THE TAX LIABILITY FOR THE TAX YEAR

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      SHALL NOT BE REFUNDED BUT MAY BE CARRIED FORWARD TO OFFSET TAX

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      LIABILITY IN SUBSEQUENT TAX YEARS FOR 10 YEARS OR UNTIL USED UP,

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      WHICHEVER OCCURS FIRST.










































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