December 10, 2009, Introduced by Reps. Johnson, Lahti, Spade, McDowell, Nerat, Lindberg, Mayes, Durhal, Melton, Cushingberry, Byrum, Neumann and Womack and referred to the Committee on Energy and Technology.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
by amending section 253 (MCL 206.253), as added by 2008 PA 287.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 253. (1) Except as otherwise provided under this
subsection, for tax years that begin after December 31, 2008 and
before January 1, 2012, a taxpayer with adjusted gross income equal
to or less than $37,500.00 or for a husband and wife filing a joint
return as provided in section 311 with adjusted gross income equal
to or less than $75,000.00 who purchases and installs a qualified
home improvement for his or her principal residence during the tax
year may claim a credit against the tax imposed by this act equal
to 10% of the amount paid by the taxpayer in the tax year for the
purchase and installation of each qualified home improvement or
$75.00, or for a husband and wife filing a joint return, $150.00,
whichever is less, for each qualified home improvement purchased
and installed during the tax year. However, a taxpayer shall not
claim more than 1 credit under each subparagraph of subsection
(3)(c) during the same tax year. To claim the credit allowed under
this subsection, the taxpayer shall, in the manner required by the
department, provide verification of the amount paid for the
purchase and installation of the qualified home improvement along
with documentation of its compliance with the energy star energy
efficiency guidelines. If the credit allowed under this subsection
exceeds the tax liability of the taxpayer for the tax year, that
portion of the credit that exceeds the tax liability shall be
refunded.
(2) For tax years that begin after December 31, 2008 and
before December 31, 2012, a taxpayer with adjusted gross income
equal to or less than $65,000.00 or for a husband and wife filing a
joint return as provided in section 311 equal to or less than
$130,000.00 may claim a credit against the tax imposed by this act
equal to the percentages provided by this subsection of the amount
authorized for the customer's electric utility or the customer's
municipally owned electric utility under section 45(2)(a) of the
clean, renewable, and efficient energy act, 2008 PA 295, MCL
460.1045, and paid during the tax year. If the credit allowed under
this subsection exceeds the tax liability of the taxpayer for the
tax year, that portion of the credit that exceeds the tax liability
shall not be refunded. The percentages of the amounts authorized
shall be as follows:
(a) For tax years that begin after December 31, 2008 and
before January 1, 2010, 25%.
(b) For tax years that begin after December 31, 2009 and
before January 1, 2012, 20%.
(3) As used in this section:
(a) "Electric utility" means that term as defined under
section 10g of 1939 PA 3, MCL 460.10g and includes an alternative
electric supplier as that term is defined under section 10g of 1939
PA 3, MCL 460.10g.
(b) "Principal residence" means that term as defined in
section 7dd of the general property tax act, 1893 PA 206, MCL
211.7dd, and exempt from taxation under section 7cc of the general
property tax act, 1893 PA 206, MCL 211.7cc.
(c) "Qualified home improvement" means the following items
intended for residential or noncommercial use that meet or exceed
the applicable energy star energy efficiency guidelines developed
by the United States environmental protection agency and the United
States department of energy:
(i) Insulation.
(ii) Furnaces.
(iii) Water heaters.
(iv) Windows.
(v) Refrigerators, clothes washers, and dishwashers.