state of michigan
100th Legislature
Regular session of 2020
Introduced by Senators
Daley and VanderWall
ENROLLED SENATE BILL No. 935
AN ACT to amend
1937 PA 94, entitled “An act to provide for the levy, assessment, and
collection of a specific excise tax on the storage, use, or consumption in this
state of tangible personal property and certain services; to appropriate the
proceeds of that tax; to prescribe penalties; and to make appropriations,” by
amending section 6 (MCL 205.96), as amended by 2014 PA 426, and by adding
section 6d.
The People of the
State of Michigan enact:
Sec.
6. (1) Every person storing, using, or consuming tangible personal property or
services, the storage, use, or consumption of which is subject to the tax
imposed by this act when the tax was not paid to a seller, and every seller
collecting the tax from the purchaser, except as otherwise provided by law or as otherwise required under subsection (2) or (3), on or before the
twentieth day of each calendar month shall file with the department a return
for the preceding calendar month, in a form prescribed by the department,
showing the price of each purchase of tangible personal property or services
during the preceding month, and other information the department considers
necessary for the proper administration of this act. Except as otherwise
provided in section 6d, at the same time, each
person shall pay to the department the amount of tax imposed by this act with
respect to the purchases covered by the return.
(2)
Except as otherwise provided in
section 6d, each seller that had a total tax
liability after subtracting the tax payments made to the secretary of state
under this act or the general sales tax act, 1933 PA 167, MCL 205.51 to 205.78,
or after subtracting the tax credits available under section 6a of the general
sales tax act, 1933 PA 167, MCL 205.56a, in the immediately preceding calendar
year of $720,000.00 or more shall remit to the department, by an electronic
funds transfer method approved by the department on or before the twentieth day
of the month, an amount equal to the following:
(a)
Beginning January 1, 1999 through December 31, 2013, 50% of the taxpayer’s
liability under this act for the same month in the immediately preceding
calendar year, or 50% of the actual liability for the month being reported,
whichever is less, plus a reconciliation payment equal to the difference
between the tax liability determined for the immediately preceding month minus
the amount of tax previously paid for that month. Additionally, the seller
shall remit to the department, by an electronic funds transfer method approved
by the department on or before the last day of the month, an amount equal to
50% of the taxpayer’s liability under this act for the same month in the
immediately preceding calendar year, or 50% of the actual liability for the
month being reported, whichever is less.
(b)
Beginning January 1, 2014, 75% of the taxpayer’s liability under this act in
the immediately preceding month or 75% of the taxpayer’s liability for the same
month in the immediately preceding calendar year, whichever is less, plus a
reconciliation payment equal to the difference between the tax liability
determined for the immediately preceding month minus the amount of tax
previously paid for that month. Payment remitted to the department by
electronic funds transfer may include as a single payment any amount due under
section 6 of the general sales tax act, 1933 PA 167, MCL 205.56.
(3) Subject to section 6d, if considered necessary to ensure payment of the tax or to provide a more efficient
administration, the department may require and prescribe the filing of returns
and payment of the tax for other than monthly periods.
(4) The tax imposed under
this act shall accrue to this state on the last day of each calendar month.
(5) If a due date falls on a
Saturday, Sunday, state holiday, or legal banking holiday, the taxes are due on
the next succeeding business day.
Sec.
6d. (1) A qualified taxpayer that files a monthly return under this act may
defer payment of qualified taxes by remitting them in installments as follows:
(a) Taxes otherwise due for
March, April, and May must be paid in 6 equal installments with 1 installment
due on each of the following dates:
(i) June 22, 2020.
(ii) July 20, 2020.
(iii) August 20, 2020.
(iv) September 21, 2020.
(v) October 20, 2020.
(vi) November 20, 2020.
(b) Taxes otherwise due for
June 2020 must be paid in 5 equal installments with 1 installment due on each
of the following dates:
(i) July 20, 2020.
(ii) August 20, 2020.
(iii) September 21, 2020.
(iv) October 20, 2020.
(v) November 20, 2020.
(c) Taxes otherwise due for
July 2020 must be paid in 4 equal installments with 1 installment due on each
of the following dates:
(i) August 20, 2020.
(ii) September 21, 2020.
(iii) October 20, 2020.
(iv) November 20, 2020.
(d) Taxes otherwise due for
August 2020 must be paid in 3 equal installments with 1 installment due on each
of the following dates:
(i) September 21, 2020.
(ii) October 20, 2020.
(iii) November 20, 2020.
(2) A qualified taxpayer that files a
quarterly return under this act may defer payment of qualified taxes by
remitting them in installments as follows:
(a) Taxes otherwise due for
March of quarter 1 of 2020 must be paid in 3 equal installments with 1
installment due on each of the following dates:
(i) June 22, 2020.
(ii) September 21, 2020.
(iii) November 20, 2020.
(b) Taxes otherwise due for
quarter 2 of 2020 must be paid in 3 equal installments with 1 installment due
on each of the following dates:
(i) July 20, 2020.
(ii) September 21, 2020.
(iii) November 20, 2020.
(c) Taxes otherwise due for
July and August of quarter 3 of 2020 must be paid in 2 equal monthly
installments with 1 installment due on each of the following dates:
(i) October 20, 2020.
(ii) November 20, 2020.
(3)
If a qualified taxpayer intends to defer payment of qualified taxes otherwise
due under this act for August 2020, the qualified taxpayer shall submit an
estimate of the taxes to be deferred for August 2020 to the department not
later than July 31, 2020 on a form prescribed by the department.
(4) Penalties and
interest must not be added to qualified taxes remitted pursuant to this
section.
(5) As used in
this section:
(a) “COVID-19
executive order” means an executive order issued by the governor in response to
the coronavirus (COVID-19) public health emergency.
(b) “Qualified
taxes” means the taxes otherwise due under this act from a qualified taxpayer
for March, April, May, June, July, and August 2020.
(c) “Qualified
taxpayer” means a taxpayer whose business has been negatively impacted as the
result of a COVID-19 executive order. A taxpayer’s business is considered
negatively impacted by a COVID-19 executive order if 1 or more of the following
apply:
(i)
As a result of a COVID-19 executive order, the taxpayer’s place of business is
closed or restricted to ingress, egress, use, and occupancy by members of the
public.
(ii)
The taxpayer’s business involves assemblages of people that are prohibited by a
COVID-19 executive order.
Secretary of the Senate
Clerk of the House of Representatives
Approved___________________________________________
____________________________________________________
Governor