This bill (HB 4182) amends Michigan's use tax law to add a new exemption for motor fuel sales. It specifically creates a new section (4gg) in the law to exempt certain motor fuel transactions from use tax. The bill directly affects businesses selling motor fuel, potentially reducing their tax burden on qualifying sales. However, the provided context does not specify the exact scope of the exemption or who qualifies for it, so the summary cannot detail the precise mechanisms or affected parties beyond the general tax exemption for motor fuel.
HB 4180 removes the sales tax requirement for motor fuel sales in Michigan by amending the state tax code. It directly affects gas stations and fuel retailers by exempting motor fuel transactions from the standard sales tax. The bill creates a new tax exemption provision (Section 4gg) in the tax code, specifically excluding motor fuel sales from taxable transactions. This change became effective immediately upon the Governor's approval on October 7, 2025.
HB 4577 modifies Michigan's state funding formula for public K-12 schools, directly affecting school districts that receive state school aid. It amends two sections of the school aid law (MCL 388.1611 and 388.1617b) to adjust how funds are distributed to schools. The bill passed the House on June 11, 2025, with immediate effect, meaning the revised funding method applies without delay. This change alters the state's process for allocating annual school aid appropriations.
HB 4578 provides the budget for the Department of Lifelong Education, Advancement, and Potential for fiscal year 2025-2026. It allocates specific funding amounts to support the department's programs and operations during the upcoming year. The bill directly affects the department by determining its available resources for delivering services related to education and workforce development. This is a routine budget measure that establishes funding levels without introducing new policies or altering existing programs.
HB 4287 modifies Michigan's individual income tax code to adjust deductions for retirement and pension benefits. It increases the maximum deductible amount for retirement income to $42,240 for single filers and $84,480 for joint filers, with annual adjustments based on the Consumer Price Index. This change directly affects Michigan taxpayers who receive retirement or pension benefits, allowing them to reduce their taxable income by a larger portion of those benefits while maintaining specific eligibility rules. The bill does not alter other tax provisions or include broadband-related funding as referenced in its title.
HB 4201 amends Michigan's income tax law to exempt certain retirement benefits from state taxation. It specifically adds a deduction for retirement or pension benefits received from Michigan's public retirement systems (like state employee pensions) or federal public retirement systems. This directly affects Michigan residents who receive these types of public-sector retirement benefits by reducing their taxable income. The change modifies Section 30 of Michigan's Income Tax Act (MCL 206.30) to exclude these benefits from taxable income calculations.
House Bill 4342 amends Michigan's state revenue sharing act, introducing a new condition for withholding state funds from local governments. Beginning October 1, 2025, the state treasurer would withhold all revenue sharing payments from any city, village, township, or county. This would occur if the local government enacts or enforces a law, ordinance, policy, or rule that violates the "local government sanctuary policy prohibition act" or the "county law enforcement protection act." Payments would be withheld for as long as the violating policy remains in effect. This bill is tied to the enactment of House Bills 4338 and 4339.
HB 4184 increases Michigan's excise tax on aviation fuel from 3.10 cents to 4.00 cents per gallon. It directly affects fuel sellers, airlines, and airport operators by changing how this tax revenue is distributed. The bill modifies Section 203 of the Aeronautics Code to require 35% of the tax revenue to fund the state aeronautics fund and 65% to fund qualified airports. It also retains the 1.5-cent refund for airlines operating interstate flights and the exemption for fuel used in leaded racing fuel production.
HB 4186 increases Michigan's business income tax rate from 4.95% to 30% for all business activity occurring on or after January 1, 2025. This rate change directly affects businesses operating within Michigan that are subject to the state's business tax, including those previously filing under the corporate income tax act. The bill amends sections 201 and 500 of the Michigan Business Tax Act (2007 PA 36) to implement this rate increase and adjust the tax base calculations for businesses. The change represents a significant policy shift in how Michigan taxes business income, effective in 2025.
