June 17, 2010, Introduced by Reps. Slezak, Roy Schmidt, Terry Brown, Sheltrown, LeBlanc, Liss, Kandrevas, Geiss, Huckleberry, Mayes, Haugh and Johnson and referred to the Committee on Tax Policy.
A bill to amend 2007 PA 36, entitled
"Michigan business tax act,"
(MCL 208.1101 to 208.1601) by adding section 465.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 465. (1) For the 2010 and 2011 tax years, a qualified
taxpayer may claim a credit against the tax imposed by this act
equal to the total compensation paid by the qualified taxpayer to
all qualified employees during the tax year for which the credit is
claimed or $10,000.00 for each qualified employee, whichever is
less. The credit allowed under this section shall be taken after
all other credits provided under this act.
(2) If the credit allowed under this subsection exceeds the
liability of the qualified taxpayer for the tax year, the qualified
taxpayer may elect to have that portion that exceeds the tax
liability of the qualified taxpayer refunded or to have the excess
carried forward to offset tax liability in subsequent years for 10
years or until it is used up, whichever occurs first.
(3) As used in this section:
(a) "Full-time job" means a job performed by an individual for
35 hours or more each week and whose income and social security
taxes are withheld by 1 or more of the following:
(i) A qualified taxpayer.
(ii) An employee leasing company on behalf of a qualified
taxpayer.
(iii) A professional employer organization on behalf of a
qualified taxpayer.
(b) "Qualified employee" means an individual who is hired by a
qualified taxpayer after December 31, 2009 and before January 1,
2012 as an employee in a full-time job for a qualified small
business in this state.
(c) "Qualified small business" means a business that meets
both of the following criteria:
(i) Has gross receipts that do not exceed $30,000,000.00.
(ii) Has a business income that does not exceed $10,000,000.00.
(d) "Qualified taxpayer" means a taxpayer that is a qualified
small business.