Corporate income tax: flow-through entities; dates to make election to pay the tax and submit certain information; modify. Amends secs. 813, 831 & 839 of 1967 PA 281 (MCL 206.813 et seq.).

This bill modifies Michigan's corporate income tax rules to allow flow-through entities, such as partnerships and S corporations, to elect paying the tax themselves instead of passing it to individual owners. Under the new provisions, these entities can file a return and pay the tax for a three-year period, after which they must re-elect to continue the arrangement. Owners of these businesses can then claim a tax credit for their share of the entity's tax payment, and any excess credit is refunded without added interest for the 2021 tax year. The legislation also clarifies deadlines for making this election, requiring filings by mid-March for years starting before 2024 and by mid-September for years starting in 2024 or later.