SB-0934, As Passed Senate, December 6, 2007
November 29, 2007, Introduced by Senator HUNTER and referred to the Committee on Finance.
A bill to amend 1990 PA 100, entitled
"City utility users tax act,"
by amending section 5 (MCL 141.1155), as amended by 2004 PA 322.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 5. (1) The uniform city utility users tax ordinance does
not apply to a person or corporation as to whom or which it is
beyond the power of the city to impose the tax provided for in the
uniform city utility users tax ordinance.
(2) For tax years beginning after December 31, 1996, a person
or corporation, except a casino, is exempt from the tax imposed
under this ordinance for public utility services provided in a
renaissance zone to the extent and for the duration provided
pursuant to the Michigan renaissance zone act, 1996 PA 376, MCL
125.2681 to 125.2696. As used in this subsection, "casino" means a
casino or a parking lot, hotel, motel, or retail store owned or
operated by a casino, an affiliate, or an affiliated company,
regulated by this state pursuant to the Michigan gaming control and
revenue
act, the Initiated Law of 1996 1996
IL 1, MCL 432.201 to
432.216
432.226.
(3) For tax years beginning after December 31, 2004, a
qualified start-up business is exempt from the tax imposed under
this ordinance for the 12-month period beginning November 1 for
each tax year in which all of the following occur:
(a) The qualified start-up business applies for the exemption
as provided in subsection (4).
(b) The governing body of the city adopts a resolution
approving the exemption as provided in subsection (5).
(4) A qualified start-up business may claim the exemption
under subsection (3) by filing an exemption affidavit claiming the
exemption with the treasurer of the city that imposes the tax under
this ordinance on a form prescribed by the city. The affidavit
under this subsection shall be filed on or before September 1 of
each year that a taxpayer claims the exemption under subsection (3)
and shall include all of the following:
(a) A statement that the qualified start-up business was
eligible for and claimed the credit allowed under section 31a of
the single business tax act, 1975 PA 228, MCL 208.31a, or section
415 of the Michigan business tax act, 2007 PA 36, MCL 208.1415, in
the tax year that ended immediately before the November 1 in which
the exemption under subsection (3) will be claimed.
(b) A copy of the qualified start-up business's annual return
required under the single business tax act, 1975 PA 228, MCL 208.1
to 208.145, or the Michigan business tax act, 2007 PA 36, MCL
208.1101 to 208.1601, for the year in which the credit was claimed
under section 31a of the single business tax act, 1975 PA 228, MCL
208.31a, or section 415 of the Michigan business tax act, 2007 PA
36, MCL 208.1415, upon which the exemption under subsection (3) is
based.
(c) A statement authorizing the department of treasury to
release information contained in the qualified start-up business's
annual return filed under the single business tax act, 1975 PA 228,
MCL 208.1 to 208.145, or the Michigan business tax act, 2007 PA 36,
MCL 208.1101 to 208.1601, that pertains to the qualified start-up
business credit claimed under section 31a of the single business
tax act, 1975 PA 228, MCL 208.31a, or section 415 of the Michigan
business tax act, 2007 PA 36, MCL 208.1415, upon which an exemption
under subsection (3) is based to the city.
(5) An exemption under subsection (3) is not allowed unless
the governing body of the city that collects the tax under this act
adopts a resolution approving the exemption. Exemptions under
subsection (3) shall be approved at the last official meeting of
the governing body of the city in September of each year. The
resolution adopted by the governing body of the city may approve
the exemption provided in subsection (3) for 1 or more of the
qualified start-up businesses that claim the exemption under
subsection (3) by filing an affidavit on or before September 1 as
provided in subsection (4).
(6) A qualified start-up business shall not receive the
exemption under subsection (3) for more than a total of 5 tax
years. A qualified start-up business may receive the exemption
under subsection (3) in nonconsecutive tax years.
(7) As used in this section, "qualified start-up business"
means that term as defined in section 31a of the single business
tax act, 1975 PA 228, MCL 208.31a, or section 415 of the Michigan
business tax act, 2007 PA 36, MCL 208.1415.