SENATE BILL No. 1303

 

 

June 16, 2004, Introduced by Senator GILBERT and referred to the Committee on Economic Development, Small Business and Regulatory Reform.

 

 

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1990 PA 100, entitled                                             

                                                                                

    "City utility users tax act,"                                               

                                                                                

    by amending section 5 of chapter 1 (MCL 141.1155), as amended by            

                                                                                

    1998 PA 241.                                                                

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1                               CHAPTER 1                                       

                                                                                

2       Sec. 5.  (1) The uniform city utility users tax ordinance                   

                                                                                

3   does not apply to a person or corporation as to whom or which it            

                                                                                

4   is beyond the power of the city to impose the tax provided for in           

                                                                                

5   the uniform city utility users tax ordinance.                               

                                                                                

6       (2) For tax years beginning after December 31, 1996, a person               

                                                                                

7   or corporation, except a casino, is exempt from the tax imposed             

                                                                                

8   under this ordinance for public utility services provided in a              

                                                                                

9   renaissance zone to the extent and for the duration provided                

                                                                                

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

                                                                                


                                                                                

1   125.2681 to 125.2696.  As used in this subsection, "casino" means           

                                                                                

2   a casino or a parking lot, hotel, motel, or retail store owned or           

                                                                                

3   operated by a casino, an affiliate, or an affiliated company,               

                                                                                

4   regulated by this state pursuant to the Michigan gaming control             

                                                                                

5   and revenue act, the Initiated Law of 1996, MCL 432.201 to                  

                                                                                

6   432.216.                                                                    

                                                                                

7       (3) For tax years beginning after December 31, 2004, a                      

                                                                                

8   qualified start-up business is exempt from the tax imposed under            

                                                                                

9   this ordinance for the 5 consecutive tax years that begin with              

                                                                                

10  the first tax year in which the qualified start-up business                 

                                                                                

11  claims a credit under section 31a of the single business tax act,           

                                                                                

12  1975 PA 228, MCL 208.31a, or section 51f of the income tax act of           

                                                                                

13  1967, 1967 PA 281, MCL 206.51f.  As used in this subsection,                

                                                                                

14  "qualified start-up business" means that term as defined in                 

                                                                                

15  section 31a of the single business tax act, 1975 PA 228, MCL                

                                                                                

16  208.31a.                                                                    

                                                                                

17      (4) A qualified start-up business may claim the exemption                   

                                                                                

18  under subsection (3) by filing an exemption affidavit claiming              

                                                                                

19  the exemption with the treasurer of the city that imposes the tax           

                                                                                

20  under this ordinance on a form prescribed by the city.  The                 

                                                                                

21  exemption affidavit shall be filed within 60 days of the date on            

                                                                                

22  which a qualified start-up business became exempt under                     

                                                                                

23  subsection (3).                                                             

                                                                                

24      (5) The exemption under subsection (3) is effective for a                   

                                                                                

25  city that imposes the tax provided for in the city utility users            

                                                                                

26  tax ordinance that, not more than 90 days after the effective               

                                                                                

27  date of the amendatory act that added this subsection, adopts a             


                                                                                

1   resolution to include subsections (3) and (4) in its city utility           

                                                                                

2   users tax ordinance.