February 1, 2005, Introduced by Rep. Mortimer and referred to the Committee on Tax Policy.
A bill to amend 1975 PA 228, entitled
"Single business tax act,"
(MCL 208.1 to 208.145) by adding section 31b.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 31b. (1) Notwithstanding any other provision of this act,
for tax years that begin after December 31, 2005, a qualified
business shall have no tax liability under this act for the 3
consecutive tax years that begin with the first year of operation
of the business.
(2) A qualified business under this section is not required to
file a notice of no filing with the department for the 3 tax years
during which it has no tax liability under this section.
(3) A qualified business under this section shall not claim
any of the credits allowed under this act for the 3 tax years
during which it has no tax liability under this section.
(4) As used in this section, "qualified business" means a
business that meets all of the following criteria:
(a) Is owned, registered, and functioning in this state.
(b) Is not a subsidiary or parent company of any other
business entity.
(c) Began its business operation after December 31, 2005.
(d) Has 20 or fewer full-time equivalent employees during the
3 tax years it has no tax liability under this section.