HOUSE BILL No. 5898


     June 20, 2000, Introduced by Rep. DeWeese and referred to the Committee on Tax Policy.


        A bill to amend 1967 PA 281, entitled

   "Income tax act of 1967,"

   (MCL 206.1 to 206.532) by adding section 258.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1
           SEC. 258.  FOR A TAX YEAR BEGINNING AFTER DECEMBER 31, 1999,

 2
      A TAXPAYER MAY CLAIM A CREDIT EQUAL TO 10% OF THE AMOUNT OF THE

 3
      EARNED INCOME CREDIT ALLOWABLE FOR THE TAX YEAR UNDER SECTION 32

 4
      OF THE INTERNAL REVENUE CODE.  IF THE CREDIT ALLOWED UNDER THIS

 5
      SECTION EXCEEDS THE TAX LIABILITY OF THE TAXPAYER FOR THE TAX

 6
      YEAR, THAT PORTION OF THE CREDIT THAT EXCEEDS THE TAX LIABILITY

 7
      SHALL BE REFUNDED.










   05295'99          Final page.                            RJA