FOSTERING FUTURES SCHOLARSHIP FUND S.B. 543 & 544:
SUMMARY OF BILL
REPORTED FROM COMMITTEE
Senate Bills 543 and 544 (as reported without amendment)
Sponsor: Senator Peter MacGregor (S.B. 543)
Senator Marty Knollenberg (S.B. 544)
CONTENT
Senate Bill 543 would amend the Income Tax Act to include the Fostering Futures Scholarship Trust Fund among the funds eligible for voluntary contributions on the State income tax return, starting in 2016.
Section 435 of the Income Tax Act allows an individual to designate on his or her annual State income tax return that contributions of $5, $10, or more of his or her refund be credited to any of the funds listed in that section (check-offs). If an individual's refund is not sufficient to make a contribution, he or she may designate a contribution amount to be added to his or her tax liability for the tax year.
The bill would add the Fostering Futures Scholarship Trust Fund to the list of check-offs, beginning in the 2016 tax year.
Senate Bill 544 would amend the Fostering Futures Scholarship Trust Fund Act to require the Department of Treasury to credit to the Trust Fund all amounts appropriated for the Trust Fund under the Section 435 of the Income Tax Act.
The bills are tie-barred.
MCL 206.435 (S.B. 543) Legislative Analyst: Drew Krogulecki
722.1029 (S.B. 544)
FISCAL IMPACT
The bills would result in minimal costs to the State with no impact on local units. The Department of Treasury would experience an initial implementation cost to add the Fund to the schedule of tax check-offs; however, the costs would be minimal and the Department would not require additional appropriations. Once established, the ongoing costs would be minimal and within current appropriations.
Date Completed: 10-14-15 Fiscal Analyst: Cory Savino
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.