Individual income tax: credit; credit for permits associated with building a new single-family residential unit; provide for.

Michigan House Bill 6271 creates a new individual income tax credit for taxpayers who pay local building permit fees to construct a new single-family home. Starting with the 2027 tax year, eligible individuals can claim a credit equal to their actual permit costs, up to a maximum of $2,500 per year. The bill requires taxpayers to provide reasonable proof of these expenses to the state department if requested. If the total credit amount is greater than the taxpayer's annual income tax liability, the excess portion must be refunded to the taxpayer rather than being lost.