SB 556 creates the MiABLE fund in the Michigan state treasury to support the Michigan ABLE savings program for people with disabilities. The fund receives money from income tax receipts (under MCL 206.51) and other sources, with all balances rolling over annually instead of returning to the general fund. It specifically covers program administration costs and reimburses fees charged to participants for account maintenance and asset-based fees. This bill directly affects the Michigan ABLE program’s financial operations and its participants, who use the savings accounts without losing eligibility for benefits. The fund’s structure ensures dedicated, ongoing resources for the program’s management.
House Bill 5131 proposes an amendment to the state's individual income tax act. It aims to create a new deduction for taxpayers. This deduction would allow individuals to subtract capital gains derived from the sale or exchange of investment coins and bullion when calculating their state taxable income. This change would reduce the amount of income subject to state tax for those who realize such gains.
HB 5118 would create a Michigan income tax credit for employers hiring residents from specific federal "targeted groups" (like veterans or long-term unemployed individuals). The credit equals 50% of the federal work opportunity tax credit amount, applied to qualified wages paid to Michigan residents certified by the state unemployment agency as part of these groups. It applies to tax years beginning January 1, 2026, and cannot exceed an employer's total tax liability for that year. The bill directly affects Michigan employers (excluding tax-exempt organizations) who hire eligible employees meeting federal and state certification criteria.
HB 5119 allows tax-exempt organizations in Michigan (like nonprofits) to claim a state tax credit equal to 50% of the federal Work Opportunity Tax Credit (WOTC) they earn for hiring employees from specific targeted groups. The credit applies to wages paid to employees certified by Michigan’s unemployment agency as members of these groups, starting in tax years beginning January 1, 2026. Employers must claim this credit on their annual tax returns, and it can only offset state income tax withholding - any excess credit isn’t refunded. The bill directly affects tax-exempt employers hiring eligible employees, aligning Michigan’s credit with federal WOTC rules.
HB 4747 adds a new state income tax deduction for Michigan taxpayers who contribute to 529 education savings plans. It allows residents to subtract their 529 plan contributions from their taxable income when filing Michigan state taxes, directly benefiting families saving for education costs. The bill amends Michigan’s tax code to create this specific deduction, effective immediately after its passage on October 23, 2025. This change provides a direct financial incentive for contributing to qualified education savings accounts.
HB 4432 creates a $2,500 refundable state income tax credit for qualified volunteer emergency medical services (EMS) personnel in Michigan, effective for tax years beginning January 1, 2025. To qualify, volunteers must serve at least 10 hours monthly with a life support agency (like EMS organizations), receive no hourly wage or salary, and only be reimbursed for reasonable expenses or receive customary benefits. The credit requires a signed verification statement from the agency confirming the volunteer’s service hours, compliance with training standards, and non-salary compensation. This directly affects unpaid EMS volunteers who meet these criteria, reducing their state tax liability or providing a refund if the credit exceeds their tax bill.
HB 4431 creates a new $2,500 state income tax credit for qualified volunteer firefighters in Michigan, effective for tax years beginning January 1, 2025. To qualify, individuals must serve at least 10 hours per month as unpaid volunteers (reimbursed only for expenses or standard benefits) with an organized fire department, verified by a written statement from the department head. The credit reduces tax liability, with any excess amount refunded to the taxpayer. This applies specifically to volunteer firefighters meeting the defined criteria, not paid staff or other volunteer roles.
SB 633 eliminates Michigan's state historic preservation tax credit program, which previously allowed property owners to claim a 25% tax credit for qualified rehabilitation expenses on historic buildings. The bill directly affects developers and property owners who relied on this credit for restoring historic resources, removing their eligibility for tax benefits under this program. Key provisions include repealing sections of the Income Tax Act that governed the credit's application process, annual funding limits ($5 million total), and requirements for certification of historic rehabilitation projects. This change would end the state's financial incentive for historic preservation projects that currently qualify under this credit.
HB 4816 creates a new individual income tax credit for Michigan residents who invest in certain Michigan businesses. It directly affects Michigan taxpayers who make qualifying investments in eligible local companies. The bill adds a specific provision to Michigan's tax code allowing these investors to claim a credit against their state income tax. This credit aims to incentivize personal investment in Michigan-based businesses through a direct tax benefit.
HB 4513 creates a new tax deduction for income earned from bitcoin mining under Michigan's existing "bitcoin program." It directly affects bitcoin miners operating within Michigan's designated program by allowing them to deduct this income when calculating their state individual income tax. The bill amends specific sections of Michigan's tax code (sections 30, 623, and 815) to add this deduction, making it a concrete policy change for eligible miners. This deduction is separate from other standard tax adjustments detailed in the bill.
