Corporate income tax: credits; aerospace and defense technology related research and development credit; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding secs. 277 & 677. TIE BAR WITH: SB 1018'24

This bill creates a new state tax credit program for Michigan companies involved in aerospace and defense technology research and development. Effective in 2025, eligible businesses can receive a credit equal to 20% of their qualified R&D expenses that exceed a specific baseline, with a maximum credit of $5 million per company per year. The program also offers a separate credit for smaller defense and aerospace suppliers to cover costs related to storing and maintaining finished goods, capped at $1 million annually. To claim these benefits, companies must be designated by the Michigan Strategic Fund and submit a certificate with their annual tax return, while the total credits available for the entire program are limited to $100 million per year.