TAX LIABILITY OF OFFICERS
House Bill 4567
Sponsor: Rep. Paul Condino
House Bill 4568
Sponsor: Rep. Paula K. Zelenko
House Bill 4569
Sponsor: Rep. Barbara Farrah
Committee: Tax Policy
Complete to 4-17-03
A SUMMARY OF HOUSE BILLS 4567-4569 AS INTRODUCED 4-10-03
Under the Revenue Act (MCL 205.27a), if a corporation is required to file a return or pay taxes and fails to do so, certain officers of that corporation are personally liable for that failure. The act further states that the presence of a signature of an officer on a tax return or on negotiable instruments used to pay taxes is prima facie evidence of the responsibility of the officer for making the return and payment, and that the dissolution of a corporation does not discharge an officer's liability for a prior failure of the corporation to file a return or pay the tax due. House Bill 4567 would extend these provisions to limited liability companies, limited liability partnerships, partnerships, and limited partnerships and, likewise, to their individual members, managers, and partners.
House Bill 4568 would delete language in the General Sales Tax Act (MCL 205.65) that is substantially similar to the provision in the Revenue Act that is being amended by House Bill 4567.
House Bill 4569 would delete language in the Use Tax Act (MCL 205.96) that is substantially similar to the provision in the Revenue Act that is being amended by House Bill 4567.
All three bills would take effect for tax years starting on or after January 1, 2003.
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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.