HOUSE BILL No. 6497


     November 7, 2002, Introduced by Reps. Bishop, Raczkowski, Voorhees, Allen, Vander Roest, Cameron Brown and Gosselin
and referred to the Committee on Tax Policy.


        A bill to amend 1967 PA 281, entitled

   "Income tax act of 1967,"

   (MCL 206.1 to 206.532) by adding section 270.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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             SEC. 270.  (1) FOR TAX YEARS THAT BEGIN AFTER DECEMBER 31,

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        2002, A TAXPAYER MAY CLAIM A CREDIT AGAINST THE TAX IMPOSED BY

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        THIS ACT EQUAL TO THE APPLICABLE PRO RATA AMOUNT DETERMINED UNDER

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        SECTION 811(3) OF THE MICHIGAN VEHICLE CODE, 1949 PA 300,

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        MCL 257.811, IF THE TAXPAYER OR DEPENDENT OF THE TAXPAYER WHO IS

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        A STUDENT WHO LIVES IN A LOCAL SCHOOL DISTRICT THAT DOES NOT

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        OFFER A DRIVER EDUCATION COURSE PARTICIPATED IN AND COMPLETED A

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        DRIVER EDUCATION COURSE IN THE TAX YEAR IN EITHER OF THE FOLLOW-

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        ING CIRCUMSTANCES AND RECEIVED A CERTIFICATE UNDER SECTION 811(3)

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        OF THE MICHIGAN VEHICLE CODE, 1949 PA 300, MCL 257.811, FROM THE

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        LOCAL SCHOOL DISTRICT IN WHICH THE STUDENT IS ENROLLED:


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             (A) THE STUDENT PARTICIPATED IN AN APPROVED DRIVER EDUCATION

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        COURSE AT A LOCAL SCHOOL DISTRICT OF HIS OR HER CHOICE OTHER THAN

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        HIS OR HER LOCAL SCHOOL DISTRICT.

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             (B) IF THE STUDENT PARTICIPATED IN A DRIVER EDUCATION COURSE

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        AT A LICENSED DRIVER TRAINING SCHOOL, IF THE CONDITIONS UNDER

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        SECTION 811(3)(B) OF THE MICHIGAN VEHICLE CODE, 1949 PA 300,

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        MCL 257.811, ARE MET.

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             (2) THE TAXPAYER SHALL ATTACH THE CERTIFICATE RECEIVED PUR-

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        SUANT TO SECTION 811(3) OF THE MICHIGAN VEHICLE CODE, 1949

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        PA 300, MCL 257.811, TO THE ANNUAL RETURN REQUIRED BY THIS ACT ON

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        WHICH THE TAXPAYER CLAIMS THE CREDIT UNDER THIS SECTION.  A TAX-

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        PAYER SHALL NOT CLAIM A CREDIT UNDER THIS SECTION IF THE TAXPAYER

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        RECEIVES THE PRO RATA AMOUNT DETERMINED UNDER SECTION 811(3) OF

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        THE MICHIGAN VEHICLE CODE 1949 PA 300, MCL 257.811, FROM A SCHOOL

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        DISTRICT OR LICENSED DRIVER TRAINING SCHOOL OR OTHERWISE REDEEMS

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        THE CERTIFICATE ISSUED PURSUANT TO SECTION 811(3) OF THE MICHIGAN

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        VEHICLE CODE, 1949 PA 300, MCL 257.811, FOR VALUE FROM ANY

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        SOURCE.

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             (3) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SECTION

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        EXCEEDS THE TAX LIABILITY OF THE TAXPAYER FOR THE TAX YEAR, THAT

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        PORTION OF THE CREDIT THAT EXCEEDS THE TAX LIABILITY SHALL BE

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        REFUNDED.













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