HOUSE BILL No. 5986

 

June 9, 2004, Introduced by Reps. Bieda, Hart and Meisner and referred to the Committee on Tax Policy.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1933 PA 167, entitled                                             

                                                                                

    "General sales tax act,"                                                    

                                                                                

    (MCL 205.51 to 205.78) by adding section 59a.                               

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 59a.  (1) Any other provision of this act                              

                                                                                

2   notwithstanding, the department shall establish a pilot program             

                                                                                

3   in which both of the following occur:                                       

                                                                                

4       (a) Persons designated under subsection (2) shall                           

                                                                                

5   electronically make out a return for each sale at retail to the             

                                                                                

6   department or the department's designee.  The return shall show             

                                                                                

7   the entire amount of the sale at retail, the gross proceeds from            

                                                                                

8   that sale at retail, the allowable deductions, if any, and the              

                                                                                

9   amount of tax for which he or she is liable on that sale at                 

                                                                                

10  retail.  The return shall include the remittance for the amount             

                                                                                

11  of tax for which he or she is liable on that sale at retail.                

                                                                                


                                                                                

1       (b) The department shall issue an electronically generated                  

                                                                                

2   receipt to each customer of a taxpayer liable for making out a              

                                                                                

3   return under subdivision (a).  The receipt shall indicate that              

                                                                                

4   the taxpayer has electronically reported to the department or the           

                                                                                

5   department's designee the entire amount of the sale at retail,              

                                                                                

6   the gross proceeds from that sale at retail, the allowable                  

                                                                                

7   deductions, if any, the amount of tax for which he or she is                

                                                                                

8   liable on that sale at retail, and the amount of tax remitted for           

                                                                                

9   that sale at retail.                                                        

                                                                                

10      (2) The department shall randomly select taxpayers to                       

                                                                                

11  participate in the pilot program under this section.  Taxpayers             

                                                                                

12  selected shall include, but shall not be limited to, those                  

                                                                                

13  taxpayers who have failed, refused, or neglected to pay any tax,            

                                                                                

14  penalty, or interest due under this act.                                    

                                                                                

15      (3) The pilot program under this section shall be implemented               

                                                                                

16  and administered with existing department funds.  No taxpayer               

                                                                                

17  shall be liable for any costs associated with the implementation            

                                                                                

18  or administration of the pilot program under this section,                  

                                                                                

19  including any costs for electronic equipment.