Sales tax: other; exemptions for certain watercraft; provide for. Amends secs. 1 & 4a of 1933 PA 167 (MCL 205.51 & 205.54a).

This bill amends Michigan's sales tax law to maintain an existing exemption for watercraft trade-ins. It allows buyers to apply a credit for the agreed-upon value of a titled or documented watercraft (documented by the U.S. Coast Guard) when purchasing a new or used watercraft from a dealer, reducing the taxable sales price. The credit must be separately stated on the invoice and does not apply to leases or rentals. This directly affects watercraft dealers and customers trading in boats, as it lowers the sales tax owed on the new purchase.