SENATE BILL No. 939

January 26, 2000, Introduced by Senators BULLARD, MC COTTER, YOUNG, JAYE, STEIL, HAMMERSTROM, GOSCHKA and SHUGARS and referred to the Committee on

Finance.

A bill to amend 1975 PA 228, entitled

"Single business tax act,"

(MCL 208.1 to 208.145) by adding section 39d.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1 SEC. 39D. (1) FOR TAX YEARS BEGINNING ON AND AFTER JANUARY

2 1, 2000, A TAXPAYER MAY CLAIM A CREDIT AGAINST THE TAX IMPOSED BY

3 THIS ACT EQUAL TO 25% OF THE COSTS PAID BY THE TAXPAYER IN THE

4 TAX YEAR TO BUILD A NEW CHILD CARE CENTER OR TO REMODEL AN EXIST-

5 ING CHILD CARE CENTER THAT WILL BE USED TO CARE FOR THE CHILDREN

6 OF THE TAXPAYER'S EMPLOYEES.

7 (2) THE CREDIT ALLOWED UNDER THIS SECTION FOR EACH TAXPAYER

8 SHALL NOT EXCEED A TOTAL OF $150,000.00 FOR ALL TAX YEARS FOR THE

9 BUILDING OR REMODELING OF A SINGLE CHILD CARE CENTER.

10 (3) IF THE CREDIT ALLOWED UNDER THIS SECTION FOR THE TAX

11 YEAR AND ANY UNUSED CARRYFORWARD OF THE CREDIT ALLOWED BY THIS

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1 SECTION EXCEED THE TAXPAYER'S TAX LIABILITY FOR THE TAX YEAR,

2 THAT PORTION THAT EXCEEDS THE TAX LIABILITY FOR THE TAX YEAR

3 SHALL NOT BE REFUNDED BUT MAY BE CARRIED FORWARD TO OFFSET TAX

4 LIABILITY IN SUBSEQUENT TAX YEARS FOR 10 YEARS OR UNTIL USED UP,

5 WHICHEVER OCCURS FIRST.

6 (4) AS USED IN THIS SECTION, "CHILD CARE CENTER" MEANS THAT

7 TERM AS DEFINED IN SECTION 1 OF 1973 PA 116, MCL 722.111.

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