January 25, 2005, Introduced by Senator SWITALSKI and referred to the Committee on Finance.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
by amending section 311 (MCL 206.311), as amended by 2004 PA 199.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 311. (1) The taxpayer on or before the due date set for
the filing of a return or the payment of the tax, except as
otherwise provided in this act, shall make out a return in the form
and content as prescribed by the commissioner, verify the return,
and transmit it, together with a remittance of the amount of the
tax, to the department.
(2) Except as otherwise provided in subsection (5), the
department, upon application of the taxpayer and for good cause
shown, may extend under prescribed conditions the time for filing
the annual or final return required by this act. Before the
original due date, the taxpayer shall remit with an application for
extension the estimated tax due. In computing the tax due for the
tax year, interest at the rate established in, and penalties
imposed by, section 23 of 1941 PA 122, MCL 205.23, shall be added
to the amount of tax unpaid for the period of the extension. The
department may require a tentative return and payment of an
estimated tax.
(3) Taxpayers who are husband and wife and who file a joint
federal income tax return pursuant to the internal revenue code
shall file a joint return.
(4) Except as provided in subsection (5), if the taxpayer has
been granted an extension or extensions of time within which to
file
a final federal return for a taxable tax year, the filing of
a copy of the extension or extensions automatically extends the due
date of the final return under this act for an equivalent period.
The taxpayer shall remit with the copy of the extension or
extensions the estimated tax due. In computing the tax due for the
tax year, interest at the rate established in, and penalties
imposed by, section 23 of 1941 PA 122, MCL 205.23, shall be added
to the amount of tax unpaid for the period of the extension.
(5) If the taxpayer is eligible for an automatic extension of
time within which to file a federal return based on service in a
combat zone, the due date for filing an annual or final return or a
return and payment of an estimated tax under this act is
automatically extended for an equivalent period of time. The
taxpayer is not required to file a copy of any federal extension,
but shall print "COMBAT ZONE" in red ink at the top of his or her
return when the return is filed. The taxpayer is not required to
pay the amount of tax due at the time the return is originally due,
and the department shall not impose any interest or penalties for
the amount of tax unpaid for the period of the extension.
(6) For tax years that begin after December 31, 2004, the
department shall develop a 1040 PC annual return form and implement
a 1040 PC filing option. Only taxpayers who were residents of this
state for the entire tax year and who claim no credits under this
act for a tax year are eligible to file using the 1040 PC annual
return form for that tax year. The 1040 PC annual return form shall
be the size of a postcard and include only the following items:
(a) The name, address, social security number, and school
district designation of the taxpayer or taxpayers filing the
return.
(b) The total number and the amount of personal and dependency
exemptions claimed by the taxpayer or taxpayers for the tax year.
The formula and a worksheet for determining the personal and
dependency exemptions for taxpayers that file the 1040 PC annual
return shall be printed in the instruction booklet for the annual
return and not printed on the return.
(c) Total adjusted gross income from the taxpayer's or
taxpayers' federal annual return.
(d) Taxable income.
(e) The income tax rate and multiplier.
(f) The tax owed.
(g) The amount of tax withheld.
(h) The amount of tax due to this state or to be refunded to
the taxpayer or taxpayers. There shall be only 1 line on the 1040
PC annual return form to designate the amounts under this
subdivision.
(i) A signature, date, and declaration that the information
provided is true and complete. The information required under this
subdivision shall be on no more than 2 lines.