July 16, 2003, Introduced by Reps. Walker, Palsrok, Hoogendyk, Hummel, Sheen, Nofs, Ward, Huizenga, Taub, Moolenaar, Brown, Pastor, Mortimer, Stewart, Middaugh, Bisbee, Garfield, Robertson, Bradstreet and Shackleton 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:
1 Sec. 270. (1) For tax years that begin after December 31,
2 2002, a taxpayer may claim a credit against the tax imposed by
3 this act equal to 100% of the cost of qualified transportation
4 for his or her children to and from school during the tax year.
5 (2) For purposes of this section, a taxpayer shall not
6 include in the cost of transportation those costs incurred in
7 relation to any school activity for which the school provides
8 transportation to students or makes transportation available to
9 students.
10 (3) If the amount of the credit allowed under this section
11 exceeds the tax liability of the taxpayer for the tax year, that
1 portion of the credit that exceeds the tax liability shall not be
2 refunded.
3 (4) As used in this section:
4 (a) "Qualified transportation" means not more than 2 round
5 trips between the taxpayer's home and the child's school each
6 school day for a maximum of 180 days per school year.
7 (b) "School" means a public school, public school academy, or
8 intermediate school district as defined in the revised school
9 code, 1976 PA 451, MCL 380.5, or a private K-12 school in this
10 state.
11 (c) "School activities" means regular assigned classroom
12 instruction.