SENATE BILL No. 837

 

 

September 17, 2009, Introduced by Senator SWITALSKI and referred to the Committee on Finance.

 

 

 

     A bill to amend 1933 PA 167, entitled

 

"General sales tax act,"

 

by amending section 4 (MCL 205.54), as amended by 2004 PA 173.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) In computing the amount of tax levied under this

 

act for any month, a taxpayer not subject to section 6(2) may

 

deduct the amount provided by subdivision (a) or (b), whichever is

 

greater:

 

     (a) If the tax that accrued to this state from the sales at

 

retail during the preceding month is remitted to the department on

 

or before the twelfth day of the month in which remittance is due,

 

for taxes accrued through September 30, 2009, 0.75% of the tax due

 

at a rate of 4% for the preceding monthly period, but not to exceed

 


$20,000.00 of the tax due for that month and for taxes accrued

 

after September 30, 2009, 0.60% of the tax due at a rate of 4% for

 

the preceding monthly period, but not to exceed $16,000.00 of the

 

tax due for that month. If the tax that accrued to this state from

 

the sales at retail during the preceding month is remitted to the

 

department after the twelfth day and on or before the twentieth day

 

of the month in which remittance is due, for taxes accrued through

 

September 30, 2009, 0.50% of the tax due at a rate of 4% for the

 

preceding monthly period, but not to exceed $15,000.00 of the tax

 

due for that month and for taxes accrued after September 30, 2009,

 

0.40% of the tax due at a rate of 4% for the preceding monthly

 

period, but not to exceed $12,000.00 of the tax due for that month.

 

     (b) The tax at a rate of 4% due on $150.00 of taxable gross

 

proceeds for the preceding monthly period, or a prorated portion of

 

$150.00 of the taxable gross proceeds for the preceding month if

 

the taxpayer engaged in business for less than a month.

 

     (2) Beginning January 1, 1999, in computing the amount of tax

 

levied under this act for any month, a taxpayer who is subject to

 

section 6(2) may deduct from the amount of the tax paid prior to

 

October 1, 2009, 0.50% of the tax due at a rate of 4% and from the

 

tax paid after September 30, 2009, 0.40% of the tax due at a rate

 

of 4%.

 

     (3) A deduction is not allowed under this section for payments

 

of taxes made to the department after the day the taxpayer is

 

required to pay, pursuant to section 6, the tax imposed by this

 

act.

 

     (4) If, pursuant to section 6(4), the department prescribes

 


the filing of returns and the payment of the tax for periods in

 

excess of 1 month, a taxpayer is entitled to a deduction from the

 

tax collections remitted to the department for the extended payment

 

period that is equivalent to the deduction allowed under subsection

 

(1) or (2) for monthly periods.

 

     (5) The department may prescribe the filing of estimated

 

returns and annual periodic reconciliations as necessary to carry

 

out the purposes of this section.

 

     (6) A seller registered under the streamlined sales and use

 

tax agreement may claim a deduction under this section if provided

 

for in the streamlined sales and use tax administration act, 2004

 

PA 174, MCL 205.801 to 205.833.