September 14, 2010, Introduced by Rep. Clemente and referred to the Committee on Energy and Technology.
A bill to amend 2007 PA 36, entitled
"Michigan business tax act,"
by amending section 460 (MCL 208.1460), as added by 2008 PA 335.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 460. (1) For tax years that begin after December 31, 2008
and end before January 1, 2012, subject to the limitations provided
under this section, a taxpayer that is an owner of a service
station may claim a credit against the tax imposed by this act
equal to 30% of the cost incurred during the tax year to convert
existing fuel delivery systems to provide E85 fuel or qualified
biodiesel blends and to create new fuel delivery systems designed
to
provide E85 fuel or qualified biodiesel blends. , not to exceed
$20,000.00
per tax year per taxpayer.
(2) For tax years that begin after December 31, 2009 and end
before January 1, 2012, subject to the limitations provided under
this section, a taxpayer may claim a credit against the tax imposed
by this act equal to 30% of the cost incurred during the tax year
to install new charging stations in this state that are available
to the public for the purpose of charging plug-in electric motor
vehicles.
(3) (2)
In determining the amount of the
credit under
subsection (1), a taxpayer shall not include any costs to convert
existing fuel delivery systems to provide E85 fuel or qualified
biodiesel blends or to create new fuel delivery systems designed to
provide E85 fuel or qualified biodiesel blends for which the
taxpayer received a grant under the service station matching grant
program created under section 78 of the Michigan strategic fund
act, 1984 PA 270, MCL 125.2078.
(4) (3)
A credit allowed under this
section shall not exceed
$20,000.00 per tax year per taxpayer. The total amount of all
credits allowed under this section shall not exceed $1,000,000.00
per calendar year. If the credit allowed under this section exceeds
the liability of the taxpayer for the tax year, that portion of the
credit that exceeds the tax liability shall not be refunded.
(5) (4)
A taxpayer shall not claim a credit
under this section
subsection
(1) unless the energy office bureau of energy systems
has issued a certificate to the taxpayer. The taxpayer shall attach
the certificate to the annual return filed under this act on which
the
credit under this section subsection
(1) is claimed. The
certificate required by this subsection shall state all of the
following:
(a) The taxpayer is the owner of a service station and has
converted existing fuel delivery systems to provide E85 fuel or
qualified biodiesel blends or created new fuel delivery systems
designed to provide E85 fuel or qualified biodiesel blends, or
both, during the tax year for which this credit is sought.
(b) The amount of the costs incurred by the taxpayer during
the designated tax year to convert existing fuel delivery systems
to provide E85 fuel or qualified biodiesel blends and to create new
fuel delivery systems designed to provide E85 fuel or qualified
biodiesel blends and the amount of any grant awarded under section
78 of the Michigan strategic fund act, 1984 PA 271, MCL 125.2078,
during the designated tax year to the taxpayer based on the same
costs.
(c) The taxpayer's federal employer identification number or
the Michigan department of treasury number assigned to the
taxpayer.
(6) (5)
A taxpayer that claims a credit
under this section
subsection (1) and subsequently stops using the fuel delivery
systems to provide E85 fuel or qualified biodiesel blends or within
3 years of receiving this credit may, as determined by the Michigan
strategic fund, have its credit reduced or terminated or have a
percentage of the credit amount previously claimed under this
section added back to the tax liability of the taxpayer in the year
that the taxpayer stops using the fuel delivery systems to provide
E85 fuel or qualified biodiesel blends.
(7) A taxpayer shall not claim a credit under subsection (2)
unless the bureau of energy systems has issued a certificate to the
taxpayer. The taxpayer shall attach the certificate to the annual
return filed under this act on which the credit under this section
is claimed. The certificate required by this subsection shall state
all of the following:
(a) The taxpayer has installed a charging station on its
property that is available to the public during the tax year for
which this credit is sought.
(b) The amount of the costs incurred by the taxpayer during
the designated tax year to install the charging station.
(c) The taxpayer's federal employer identification number or
the Michigan department of treasury number assigned to the
taxpayer.
(8) A taxpayer that claims a credit under subsection (2) and
subsequently stops using the charging station to provide
electricity to the public for the purpose of charging plug-in
electric motor vehicles within 3 years of receiving this credit
may, as determined by the Michigan strategic fund, have its credit
reduced or terminated or have a percentage of the credit amount
previously claimed under this section added back to the tax
liability of the taxpayer in the year that the taxpayer stops using
the charging station to provide electricity to the public for the
purpose of charging plug-in electric motor vehicles.
(9) (6)
As used in this section:
(a) "Biodiesel" means a fuel composed of monoalkyl esters of
long chain fatty acids derived from vegetable oils or animal fats,
and, in accordance with standards specified by the American society
for testing and materials, designated B100, and meeting the
requirements of D-6751, as approved by the department of
agriculture.
(b) "Biodiesel blend" means a fuel composed of a blend of
biodiesel fuel with petroleum-based diesel fuel, suitable for use
as a fuel in a compression-ignition internal combustion diesel
engine.
(c) "Charging station" means an electric recharging point
complete with electric vehicle supply equipment that is capable of
providing level 2 charging for plug-in electric motor vehicles.
(d) (c)
"E85 fuel" means a fuel
blend containing between 70%
and 85% denatured fuel ethanol and gasoline suitable for use in a
spark-ignition engine and that meets American society for testing
and materials D-5798 specifications.
(e) "Electric vehicle supply equipment" means the conductors,
including the ungrounded, grounded, and equipment grounding
conductors, and the electric vehicle connectors, attachment plugs,
and all other fittings, devices, power outlets, or apparatuses that
meet or exceed any standards, codes, and regulations set forth in R
408.30801 to R 408.30876 of the Michigan administrative code and
that are installed specifically for the purpose of delivering
energy from the premises wiring to a plug-in electric motor
vehicle.
(f) "Level 2 charging" means providing 208-240 volt alternate
current energy to an onboard charger of an electric motor vehicle
in a single phase with a maximum current specified at 32 continuous
amps with a branch circuit breaker rated at 40 amps and the maximum
continuous input power is specified as 7.68 kilowatts.
(g)
(d) "Michigan strategic fund" means the Michigan
strategic
fund as described in the Michigan strategic fund act, 1984 PA 270,
MCL 125.2001 to 125.2094.
(h) "Motor vehicle" means that term as defined under section
30D of the internal revenue code, 26 USC 30D.
(i) "Plug-in electric motor vehicle" means a motor vehicle
which is propelled to a significant extent by an electric motor
which draws electricity from a battery that is capable of being
recharged from an external source of electricity.
(j) (e)
"Qualified biodiesel
blends" means any biodiesel blend
that is blended on site utilizing on-demand bio-blending equipment
that is installed after the effective date of the amendatory act
that added this section.