Budget & Taxes

in committee · Michigan · Senate Sep 24, 2025

SB 582: Taxation: tobacco; tax on certain nicotine and vapor products; establish, and provide for various amendments. Amends title & secs. 2, 3, 6, 6a, 6c, 6d, 7, 8, 9, 11, 12 & 14 of 1993 PA 327 (MCL 205.422 et seq.).

SB 582 expands Michigan's tobacco tax to include certain nicotine and vapor products, specifically targeting consumable materials like vaping liquids and pods (not the devices themselves). It directly affects manufacturers and retailers of these products by requiring them to pay a tax on sales and distribution. Key provisions define "alternative nicotine products" and "consumable materials" to clarify what is taxable, while excluding tobacco cessation products, vapor devices, and authorized FDA-approved products. The bill also updates licensing requirements and collection procedures for the state Treasury Department. This is a tax policy change, not a procedural measure.

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tobacco tax to include vaping liquids/pods, generating new state revenue through taxation of consumable materials.95% confidence

Sub-Topics Sales Tax

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passed · Michigan · Senate Sep 25, 2025

SB 573: Corporate income tax: revenue distribution; distribution of revenue; modify. Amends sec. 51 of 1967 PA 281 (MCL 206.51); adds secs. 51a & 695a & repeals secs. 51d - 51f, 51h, 476 & 695 of 1967 PA 281 (MCL 206.51d - 206.51f, 206.51h, 206.476 & 206.695).

SB 573 modifies Michigan's corporate income tax law to change how tax revenue is distributed. It revises Section 51 of the tax code, adds new Sections 51a and 695a, and removes several existing sections (51d-f, 51h, 476, 695). The bill directly affects businesses paying corporate income tax in Michigan by altering the formulas or rules for allocating tax revenue. These changes focus on updating the legal framework for revenue distribution without creating new tax rates or programs.

Topics ✓ Budget & TaxesSupports Budget & TaxesModifies corporate tax revenue distribution framework to update fiscal management, promoting fiscal responsibility without changing tax rates or funding levels.92% confidence

Sub-Topics Business Taxes Revenue

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in committee · Michigan · House Sep 29, 2025

HB 5087: State finance: bonds; revenue derived from tobacco taxes; modify disbursement of. Amends sec. 12 of 1993 PA 327 (MCL 205.432).

HB 5087 amends Michigan's tobacco tax revenue distribution, changing how funds from cigarette and other tobacco product taxes are allocated. The key change adds an annual inflation adjustment (based on the Consumer Price Index) to the $3 million allocated yearly to the Michigan State Capitol Historic Site Fund for maintenance and preservation projects. The bill maintains existing allocations, directing 41.62% to the state school aid fund, 31.875% to the Medicaid trust fund, 2.4375% to health and safety programs, and 0.555% to county indigent health care. These changes directly affect public schools, Medicaid services, state health programs, and Capitol building maintenance.

Topics ✓ Budget & TaxesSupports Budget & TaxesAdds inflation adjustment to preserve $3M capitol fund allocation, maintaining existing tobacco tax revenue distribution without defunding essential preservation projects.90% confidence ✓ HealthcareSupports HealthcareBill maintains 31.875% tobacco tax allocation to Medicaid trust fund, preserving healthcare funding without reduction.92% confidence

Sub-Topics Revenue State Budget

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in committee · Michigan · House Sep 29, 2025

HB 5085: Marihuana: taxation; excise tax on marihuana; eliminate. Amends secs. 3 & 13 of 2018 IL 1 (MCL 333.27953 & 333.27963).

HB 5085 eliminates an excise tax on marijuana sales by amending sections 3 and 13 (MCL 333.27953 and 333.27963) of Michigan's 2018 Marijuana Regulation and Taxation Act. This change directly affects licensed marijuana businesses and consumers by removing a specific tax previously applied to marijuana products. The bill modifies the statutory definitions and tax provisions within the existing regulatory framework without altering other aspects of marijuana licensing or sales rules. It is currently in the early stages of the legislative process, having been introduced and referred to committee on September 26, 2025.

Topics ✗ Budget & TaxesOpposes Budget & TaxesEliminates excise tax on marijuana, reducing tax revenue and weakening the tax policy framework within the regulatory act.95% confidence

Sub-Topics Sales Tax

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signed · Michigan · Senate Oct 8, 2025

SB 565: Property tax: exemptions; fund from which municipalities are reimbursed for certain revenue lost due to the small business property tax exemption; modify to require that unused funds lapse to the general fund. Amends sec. 3a of 2000 PA 489 (MCL 12.253a).

SB 565 amends Michigan's property tax reimbursement fund rules to require that unused funds from the local government reimbursement fund lapse (transfer) to the state's general fund at year-end, instead of remaining in the fund. It directly affects municipalities that receive state reimbursements for revenue lost due to small business property tax exemptions under the General Property Tax Act. The key change modifies Section 3a of the Michigan Trust Fund Act (2000 PA 489) to ensure unspent funds are returned to the state's general budget annually, rather than carrying over. This is a procedural adjustment to fund management, not a change to tax exemptions or reimbursement eligibility.

Topics ✓ Budget & TaxesSupports Budget & TaxesRequires unused property tax reimbursement funds to lapse to general fund, enhancing fiscal responsibility by preventing fund accumulation and ensuring funds are available for broader state budget use.85% confidence

Sub-Topics Property Tax Tax Incentives

passed · Michigan · Senate Jun 25, 2025

SB 235: Corporate income tax: credits; credit for use of sustainable aviation fuel; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding sec. 678. TIE BAR WITH: SB 236'25

SB 235 creates a corporate income tax credit for businesses that use sustainable aviation fuel (SAF). It directly affects airlines and fuel producers in Michigan by reducing their state tax liability based on the volume of SAF they utilize. The bill amends Michigan's tax code (MCL 206.1-206.847) to add a specific provision allowing corporations to claim this credit. This provides a financial incentive for adopting SAF, aiming to support cleaner aviation fuel adoption without specifying environmental outcomes.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates corporate tax credit for sustainable aviation fuel use, reducing tax liability as fiscal incentive per amended tax code (MCL 206.1-206.847).95% confidence ✓ EnergySupports EnergyCreates tax credit for sustainable aviation fuel (SAF), incentivizing renewable energy adoption in aviation. Directly aligns with 'Energy: alternative sources' subject and promotes cleaner fuel use per bill summary.90% confidence ✓ EnvironmentSupports EnvironmentBill provides tax credit for sustainable aviation fuel (SAF) adoption, directly incentivizing cleaner energy use in aviation to reduce emissions and promote alternative energy sources as per subjects listed.90% confidence ✓ TransportationSupports TransportationCreates corporate tax credit for sustainable aviation fuel adoption, incentivizing cleaner aviation practices within transportation sector per bill's purpose and subjects.95% confidence

Sub-Topics Business Taxes Airports

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passed · Michigan · Senate Jun 25, 2025

SB 236: Corporate income tax: other; sustainable aviation fuel incentive program; create. Creates new act.

SB 236 creates a tax credit program in Michigan to incentivize the production of sustainable aviation fuel (SAF). It directly affects fuel producers who meet specific environmental standards, requiring SAF to achieve at least a 50% reduction in life-cycle greenhouse gas emissions compared to petroleum fuel and comply with ASTM aviation fuel standards. Producers must apply to the Department of Environment, Great Lakes, and Energy for certification of their tax credit, providing evidence of domestic production, emissions reduction, and proof that the fuel was used in aircraft departing Michigan airports. The program administers tax credits through a state-certified process, aiming to boost local SAF production while meeting federal environmental benchmarks.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates corporate tax credit for sustainable aviation fuel producers, directly using tax policy to incentivize environmental compliance and production.95% confidence ✓ EnergySupports EnergyCreates tax credit for SAF producers meeting 50% GHG reduction, promoting renewable aviation fuel production and reducing fossil fuel dependence.95% confidence ✓ EnvironmentSupports EnvironmentCreates tax credit for SAF requiring 50%+ GHG reduction vs petroleum, directly incentivizing cleaner aviation fuel production and meeting environmental standards.95% confidence

Sub-Topics Business Taxes Oil & Gas Climate Change

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signed · Michigan · Senate Oct 8, 2025

SB 166: Appropriations: school aid; fiscal year 2025-2026 appropriations for K-12 school aid; provide for. Amends, adds & repeals (See bill).

SB 166 allocates funding for K-12 public schools in the state for the 2025-2026 fiscal year. It directly affects all public K-12 school districts by providing their state education budget. The bill establishes the specific financial amounts schools will receive during this fiscal period. It became law on October 7, 2025, with immediate effect (PA 0015'25).

Topics ✓ Budget & TaxesSupports Budget & TaxesAllocates state funding for K-12 schools, directly advancing education budget allocation without tax changes or defunding.95% confidence ✓ EducationSupports EducationBill allocates state funding for K-12 school aid in 2025-2026, directly increasing financial support for public schools per its summary and appropriations focus.95% confidence

Sub-Topics Appropriations State Budget K-12 Education School Funding

passed · Michigan · Senate Oct 21, 2025

SB 277: Sales tax: distribution; disposition of money into the game and fish protection account; provide for. Amends sec. 25 of 1933 PA 167 (MCL 205.75). TIE BAR WITH: SB 0276'25

SB 277 redirects a portion of Michigan's sales tax revenue to the state's Game and Fish Protection Account. It amends existing law (MCL 205.75) to require that specific sales tax funds be deposited directly into this dedicated account instead of general state funds. This ensures consistent, dedicated funding for wildlife conservation and management programs, including habitat protection and fishery restoration. The bill affects state wildlife management efforts by providing a reliable revenue stream without creating new taxes.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects sales tax revenue to dedicated wildlife conservation account, ensuring consistent funding for essential programs per bill's explicit language.90% confidence ✓ EnvironmentSupports EnvironmentRedirects sales tax revenue to Game and Fish Protection Account for habitat protection and fishery restoration, directly funding environmental conservation programs.95% confidence

Sub-Topics Revenue Sales Tax Conservation Wildlife

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in committee · Michigan · House Oct 21, 2025

HB 4787: Property tax: exemptions; property tax exemption for certain utility personal property; provide for. Amends 1893 PA 206 (MCL 211.1 - 211.155) by adding sec. 7yy. TIE BAR WITH: HB 4788'25

HB 4787 would exempt utility companies' replacement electric distribution infrastructure from general property taxes after December 31, 2025, if the infrastructure replaces older systems. To qualify, owners must apply annually by March 1 to local assessors and submit detailed reports by March 31 each year, including location, description of the replaced infrastructure, and safety/reliability improvements. The exemption depends on another bill (HB 4788) being enacted first. This directly affects electric utilities upgrading their aging infrastructure.

Topics ✗ Budget & TaxesOpposes Budget & TaxesExempts utility infrastructure from property taxes, reducing state/local tax revenue. Directly weakens government fiscal resources through corporate tax break, aligning with 'oppose' indicators.90% confidence

Sub-Topics Property Tax Tax Incentives

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