HOME HEATING INCOME TAX CHECKOFF

House Bill 4280

Sponsor:  Rep. Frank Accavitti

Committee:  Energy and Technology

Complete to 3-6-07

A SUMMARY OF HOUSE BILL 4280 AS INTRODUCED 2-15-07

The bill would amend the Income Tax Act to allow taxpayers to contribute $5 or more to the Home Heating Credit Fund through a checkoff on the first page of the state individual income tax return.

A taxpayer could designate a portion of a refund or could make a contribution that added to the taxpayer's liability.  As introduced, the bill would apply to tax years beginning after December 31, 2006.

[The Home Heating Credit Fund would be created by other proposed legislation (both House Bill 4064 and House Bill 4279).  The purpose of the proposed Fund is to provide additional revenue to pay for home heating credits for low-income individuals and families.]

MCL 206.436

FISCAL IMPACT:

House Bill 4280 would amend the income tax act to allow taxpayers to contribute $5 or more to the Home Heating Credit Fund.  Taxpayer donations would come from their income tax refund or would increase their tax liability.  Based on data from Michigan and other states, between $500,000 and $1.5 million could be generated from this checkoff.

                                                                                           Legislative Analyst:   Shannan Kane

                                                                                                  Fiscal Analyst:   Rebecca Ross

■ 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.