TAX; ELECTRONIC NOTICE S.B. 583:

SUMMARY OF INTRODUCED BILL

IN COMMITTEE

Senate Bill 583 (as introduced 9-25-25)

Sponsor: Senator Mary Cavanagh

Committee: Finance, Insurance, and Consumer Protection

Date Completed: 12-2-25

CONTENT

The bill would amend the revenue Act to allow a taxpayer to consent to receive notice from the Department of Treasury concerning tax liability via email.

The Act requires notice of tax liability to be given, under certain conditions, either by personal service or by certified mail addressed to the last known address of the taxpayer. The bill would allow a taxpayer to give consent to receive notice by electronic means. A taxpayer that had consented to receive notice by electronic means could revoke that consent. The Department would have to prescribe the form and manner in which consent to receive notice by electronic means and revocation of that consent could be made. The Department could promulgate rules under the Administrative Procedures Act to implement the bill's provisions. Notice provided by email would be complete when the email was transmitted.

MCL 205.28 et al. Legislative Analyst: Nathan Leaman

FISCAL IMPACT

The bill would have an indeterminate but likely positive fiscal impact on the Department of Treasury. To the extent that eligible taxpayers would elect to receive notices electronically, the Department would experience decreased costs for paper, envelopes, postage, and other costs associated with the delivery of physical notices. It is possible that some additional information technology costs could result; however, the number of taxpayers that would elect to receive electronic notices is currently unknown. The change proposed by the bill likely would not result in a need for additional appropriations.

Fiscal Analyst: Elizabeth Raczkowski

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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.