HOUSE BILL No. 4842

 

May 31, 2005, Introduced by Reps. Gosselin, Meyer, Hoogendyk, Stahl, Palmer, Sheen, Drolet, Hummel, Garfield, LaJoy, Brandenburg, Pastor, Casperson, Shaffer and Baxter and referred to the Committee on Tax Policy.

 

     A bill to amend 1933 PA 167, entitled

 

"General sales tax act,"

 

(MCL 205.51 to 205.78) by adding section 4cc.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4cc. (1) A person subject to the tax under this act may

 

exclude from the gross proceeds used for the computation of the tax

 

the sale of an article of clothing or footwear to be worn on an

 

individual if the sale is made in the first 10 calendar days of

 

August each year.

 

     (2) The exemption provided for in subsection (1) does not

 

apply to jewelry or to accessories, other than belts, neckwear, and

 

head scarves.

 

     (3) Each year the state treasurer shall estimate the amount of


 

sales tax that was not collected because of this exemption, and

 

that amount shall be transferred from the general fund to the state

 

school aid fund.