SB-1020, As Passed Senate, December 10, 2008
(As amended, December 10, 2008)
January 22, 2008, Introduced by Senators HUNTER, SCHAUER and THOMAS and referred to the Committee on Finance.
A bill to amend 2007 PA 36, entitled
"Michigan business tax act,"
(MCL 208.1101 to 208.1601) by adding section 426.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 426. (1) For the <<2009>> tax year and each tax year after
<<2009>>, a qualified financial institution or taxpayer may claim a
credit against the tax imposed by this act equal to 75% of the
contributions made by the qualified financial institution or by the
taxpayer in the tax year to the reserve fund of a fiduciary
organization pursuant to the individual or family development
account program act, 2006 PA 513, MCL 206.701 to 206.711.
(2) If the credit allowed under this section for the tax year
and any unused carryforward of the credit allowed under this
section exceed the tax liability of the qualified financial
institution or taxpayer for the tax year, the excess shall not be
refunded, but may be carried forward as an offset to the tax
liability in subsequent tax years for 10 tax years or until the
excess credit is used up, whichever occurs first.
(3) The credits under this section and section 276 of the
income tax act of 1967, 1967 PA 281, MCL 206.276, shall not exceed
an annual cumulative maximum amount of $1,000,000.00. The
determination of the maximum allowed under this subsection shall be
made as provided in the individual or family development account
program act, 2006 PA 513, MCL 206.701 to 206.711.
(4) As used in this section:
(a) "Individual or family development account" means an
account established pursuant to the individual or family
development account program act, 2006 PA 513, MCL 206.701 to
206.711.
(b) "Fiduciary organization" and "reserve fund" mean those
terms as defined in the individual or family development account
program act, 2006 PA 513, MCL 206.701 to 206.711.
(c) "Qualified financial institution" means a financial
institution as defined in the individual or family development
account program act, 2006 PA 513, MCL 206.701 to 206.711.