SBT APPRENTICESHIP CREDIT
House Bill 4758
Sponsor: Rep. Andrew Raczkowski
Committee: Tax Policy
Complete to 9-19-01
A SUMMARY OF HOUSE BILL 4758 AS INTRODUCED 5-10-01
The Single Business Tax Act allows firms to claim a credit up to $2,000 per tax year for expenses paid for each apprentice they train, provided the apprenticeships meet the act's requirements. The act defines an "apprentice" for purposes of the credit as someone 16 to 19 years old without a high school diploma but enrolled in high school or a general education development (GED) program who participates in a program meeting certain specified criteria. House Bill 4758 would modify the definition of "apprentice" so that it would apply to a person enrolled in a "literacy center", which would be defined as a private entity that exclusively offers educational assistance to individuals with learning disorders related to reading.
(An eligible apprenticeship program must be registered with the Bureau of Apprenticeship and Training within the federal Department of Labor; be provided under an apprenticeship agreement signed by the business and the apprentice; be filed with a local workforce development board; and contain a minimum term of at least 4,000 hours.)
MCL 208.38e
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.