SB-0868, As Passed Senate, February 11, 2004                                

SUBSTITUTE FOR

SENATE BILL NO. 868

                                                                             A bill to amend 1985 PA 224, entitled                                             

"Enterprise zone act,"                                                      

by amending section 21c (MCL 125.2121c), as amended by 1998 PA              

242.                                                                        

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1       Sec. 21c.  (1) Property, except a casino, exempted under                    

2   sections 20(1) and (2), 20a, and 20b that is located in a                   

3   renaissance zone under the Michigan renaissance zone act, 1996 PA           

4   376, MCL 125.2681 to 125.2696, is exempt from the specific taxes            

5   levied under this act to the extent and for the duration provided           

6   pursuant to the Michigan renaissance zone act, 1996 PA 376, MCL             

7   125.2681 to 125.2696, except for that portion of the specific tax           

8   levied under this act attributable to a special assessment or a             

9   tax described in section 7ff(2) of the general property tax act,            

10  1893 PA 206, MCL 211.7ff.  The specific tax calculated under this           

1   section subsection shall be disbursed proportionately to the              

2   local taxing unit or units that levied the special assessment or            

3   the tax described in section 7ff(2) of the general property tax             

4   act, 1893 PA 206, MCL 211.7ff.  As used in this  section

5   subsection, "casino" means a casino or a parking lot, hotel,                

6   motel, or retail store owned or operated by a casino, an                    

7   affiliate, or an affiliated company, regulated by this state                

8   pursuant to the Michigan gaming control and revenue act, the                

9   Initiated Law of 1996, MCL 432.201 to  432.216 432.226.                    

10  (2) A facility owned or operated by a qualified start-up                    

11  business is exempt from the specific tax levied under this act,             

12  except for that portion of the specific tax attributable to a               

13  special assessment or a tax described in section 7ff(2) of the              

14  general property tax act, 1893 PA 206, MCL 211.7ff, for 5                   

15  consecutive years beginning on the December 31 in the year in               

16  which the qualified start-up business first claimed the credit              

17  under section 31a of the single business tax act, 1975 PA 228,              

18  MCL 208.31a, or section 51f of the income tax act of 1967, 1967             

19  PA 281, MCL 206.51f.  A qualified start-up business exempt under            

20  this subsection shall file an exemption affidavit with the                  

21  assessor of the local tax collecting unit.  The exemption                   

22  affidavit shall be filed within 60 days of the qualified start-up           

23  business becoming exempt under this subsection.  The affidavit              

24  shall be in a form prescribed by the state tax commission.  The             

25  specific tax calculated under this subsection shall be disbursed            

26  proportionately to the taxing unit or units that levied the                 

27  special assessment or the tax described in section 7ff(2) of the            

1   general property tax act, 1893 PA 206, MCL 211.7ff.  As used in             

2   this subsection, "qualified start-up business" means that term as           

3   defined in section 31a of the single business tax act, 1975 PA              

4   228, MCL 208.31a.