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Michigan Legislature
Michigan Compiled Laws Complete Through PA 578 of 2018
House: Adjourned until Tuesday, April 9, 2019 1:30:00 PM

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NOTE: Dates reflect any modification to item, not necessarily a change in law.

Chapter 208 - BUSINESS TAX
Act 228 of 1975 ‑ Repealed-SINGLE BUSINESS TAX ACT (208.1 - 208.145)
Act 325 of 2006 ‑ BUSINESS TAX REPEAL (208.151 - 208.154)
     Section 208.151 ‑ Purpose.
     Section 208.152 ‑ Proration.
     Section 208.153 ‑ Affirmation of existing tax liabilities.
     Section 208.154 ‑ Severability.
Act 36 of 2007 ‑ MICHIGAN BUSINESS TAX ACT (208.1101 - 208.1601)
***** Act 36 of 2007 THIS ACT IS REPEALED BY ACT 39 OF 2011 EFFECTIVE WHEN CONDITIONS APPLIED BY ENACTING SECTION 1 OF ACT 39 OF 2011 ARE MET: See enacting section 1 of Act 39 of 2011 *****
     36‑2007‑1 ‑ CHAPTER 1 (208.1101...208.1117)
          Section 208.1101 ‑ Short title; legislative intent.
          Section 208.1103 ‑ Terms; meanings and references.
          Section 208.1105 ‑ Definitions; "B".
          Section 208.1107 ‑ Definitions; C, D.
          Section 208.1109 ‑ Definitions; E and F.
          Section 208.1111 ‑ Definitions; G to O.
          Section 208.1113 ‑ Definitions; P and R.
          Section 208.1115 ‑ Definitions; "S".
          Section 208.1117 ‑ Definitions; T, U.
     36‑2007‑2 ‑ CHAPTER 2 (208.1200...208.1207)
          Section 208.1200 ‑ Taxpayer; nexus to state; "actively solicits" and "physical presence" defined.
          Section 208.1201 ‑ Business income tax; imposition; adjustments; "book-tax difference," "qualifying asset," and "business loss" defined; residential rental units; definitions.
          Section 208.1203 ‑ Modified gross receipts tax; levy; imposition; "modified gross receipts tax base" explained; deduction; remittance; residential rental units; definitions.
          Section 208.1207 ‑ Tax exemptions; farmers' cooperative corporation; foreign person subject to tax; calculation of business income tax base; definitions.
     36‑2007‑2A ‑ CHAPTER 2A (208.1235...208.1243)
          Section 208.1235 ‑ Insurance companies; tax payment; determination; direct premiums; exceptions; tax in lieu of privilege or franchise fees or taxes; nonapplicability of tax to MCL 500.4601 to 500.4673 and MCL 500.4701 to 500.4747.
          Section 208.1237 ‑ Insurance company; tax credit; amounts; use of assessments from preceding tax year; payments to Michigan automobile insurance placement facility attributable to assigned claims plan.
          Section 208.1239 ‑ Insurance company; tax credit equal to 65%.
          Section 208.1241 ‑ Insurance company subject to worker's disability compensation act of 1969; tax credit; amount; refund in excess of tax liability.
          Section 208.1243 ‑ Insurance company; tax; imposition; tax year as calendar year; filing annual return; calculation of estimated payment; disclosure of tax return.
     36‑2007‑2B ‑ CHAPTER 2B (208.1261...208.1269)
          Section 208.1261 ‑ Definitions.
          Section 208.1263 ‑ Financial institution subject to franchise tax; nexus.
          Section 208.1265 ‑ Financial institution; tax base; net capital; computation; determination; unitary business group of financial institutions; change in organization; combination of financial institutions.
          Section 208.1267 ‑ Financial institution; tax base; allocation within state; apportionment within and outside state; circumstances; gross business factor; election to continue apportionment of tax within and outside state.
          Section 208.1269 ‑ Financial institution; gross business.
     36‑2007‑2C ‑ CHAPTER 2C (208.1281...208.1281)
          Section 208.1281 ‑ Annual surcharge; imposition; levy; "Michigan personal income" defined; limitation on amount; applicability; administration, collection, and enforcement.
     36‑2007‑3 ‑ CHAPTER 3 (208.1301...208.1311)
          Section 208.1301 ‑ Tax base; apportionment; allocation; taxpayer subject to tax in another state; circumstances.
          Section 208.1303 ‑ Sales factor; calculation.
          Section 208.1305 ‑ Taxpayer; determination of sales.
          Section 208.1307 ‑ Spun off corporation; calculation of sales factor; election; definitions.
          Section 208.1309 ‑ Apportionment; petition; alternate method; rebuttable presumption that apportionment provisions fairly represent business activity; return or amended return not considered as petition.
          Section 208.1311 ‑ Receipts; source.
     36‑2007‑4 ‑ CHAPTER 4 (208.1400...208.1471)
          Section 208.1400 ‑ Taxpayer; scope.
          Section 208.1401 ‑ Application of unused carryforward.
          Section 208.1403 ‑ Allowable total combined credit; limitation; tax credit; payments by professional employer organization; calculation; tax year in which negative credit is calculated; credit claimed under MCL 208.1405; taxpayer engaged in furnishing electric and gas utility service.
          Section 208.1405 ‑ Taxpayer's research and development expenses; tax credit; limitation; definition.
          Section 208.1407 ‑ Eligible contribution made by qualified taxpayer; tax credit; application; criteria for review of application; certificate; issuance; contents; limitation on credits granted; agreement requiring compliance with application provisions; refund of excess credit; definitions.
          Section 208.1409 ‑ Infield renovation, grandstand and infrastructure upgrades, and other construction upgrades; tax credit; limitations; additional credit; capital expenditures; definitions.
          Section 208.1410 ‑ Tax credit; "eligible taxpayer" defined.
          Section 208.1410a ‑ Tax credit; "eligible taxpayer" defined.
          Section 208.1411 ‑ Tax credit; gross receipts greater than $350,000.00 but less than $700,000.00.
          Section 208.1413 ‑ Tax credit; certain eligible personal property, eligible telephone personal property, and eligible natural gas pipeline property; filing; refund; definitions.
          Section 208.1415 ‑ Qualified start-up business without business income for 2 consecutive years; tax credit; total number of years tax credit allowed; taxpayer without business activity in this state; compensation, directors' fees, or distributive shares; limitation; definitions.
          Section 208.1417 ‑ Taxpayer with gross receipts not exceeding $20,000,000.00 and certain adjusted business income; disqualification; determination of reduction percentage; tax credit; reduced credit; fraction; filing and payment of tax; inclusion of compensation paid by professional employer organization to officers of client and employees; definitions.
          Section 208.1419 ‑ Tax voucher certificate; use; total amount; limitation; approval; application to Michigan early stage venture investment corporation; determination of eligibility; attachment of certificate and forms to annual return; payment of tax liability; transfer; use of excess amount; issuance of separate replacement tax voucher certificate; definitions.
          Section 208.1421 ‑ Taxpayer not subject to MCL 206.1 to 206.532; tax credit; charitable contributions; limitation; refund; definitions.
          Section 208.1422 ‑ Taxpayer making charitable contributions; tax credit; limitation; refund.
          Section 208.1423 ‑ Taxpayer subject to worker's disability compensation act of 1969; tax credit; additional credit; refund.
          Section 208.1425 ‑ Contribution to endowment fund of community foundation or education foundation; tax credit.
          Section 208.1426 ‑ Contributions to reserve fund of fiduciary organization under the individual or family development account program act; tax credit; carrying forward excess credit; limitation; definitions.
          Section 208.1427 ‑ Contribution to shelter for homeless persons, food kitchen, food bank, or other entity; tax credit.
          Section 208.1429 ‑ Taxpayer certified under Michigan next energy authority act; tax credit; definitions.
          Section 208.1430 ‑ Facility developing and manufacturing photovoltaic technology; tax credit.
          Section 208.1431 ‑ Business authorized under Michigan economic growth authority; tax credit; amount; certificate; attachment to annual return; statement; number of years; refund; effect of failure to meet requirements or removal of new jobs from state; statement as to number of new jobs created in state; limitation on total number of credits claimed in the first year; definitions.
          Section 208.1431a ‑ Tax credit; amount; percentage of qualified supplier's or customer's payroll attributable to employees performing qualified new jobs; determination by Michigan economic growth authority; certificate; issuance; contents; failure to meet requirements or conditions; when credit may be taken; definitions.
          Section 208.1431b ‑ Agreement with person or group of persons; tax credit; factors to be considered by Michigan economic growth authority; contents of agreement; amount of credit; issuance of certificate of designation; statement; definitions.
          Section 208.1431c ‑ Designation as anchor companies; tax credit; certification by Michigan economic growth authority; disclosure to legislature; contents of certificate; failure to meet requirements or conditions; disposition of excess credit; definitions.
          Section 208.1432 ‑ Agreement to manufacture polycrystalline silicon; tax credit; certificate; definitions.
          Section 208.1432a ‑ Tax years beginning after December 31, 2011 and before January 1, 2016; tax credit; electricity; "qualified consumption of electricity" defined.
          Section 208.1432b ‑ Tax years beginning after December 31, 2015 and before January 1, 2022; tax credit; "qualified consumption of electricity" defined.
          Section 208.1432c ‑ For 2022 tax year; tax credit; "qualified consumption of electricity" defined.
          Section 208.1432d ‑ For 2023 tax year; tax credit; electricity; "qualified consumption of electricity" defined.
          Section 208.1433 ‑ Business located in renaissance zone; tax credit; tax liability attributable to illegal activity; duration of credit; refund; employment or compensation to state employee member of state administrative board or renaissance zone review board prohibited; filing of annual return; "taxpayer" defined; business activity related to casino; definitions.
          Section 208.1434 ‑ Tax credits or voucher certificates to stimulate domestic commercialization and affordability of high-power energy batteries; authority for Michigan economic growth authority to enter agreements; limitations; allowable credit; review board; specifications; issuance of certificate to taxpayer; definitions.
          Section 208.1435 ‑ Rehabilitation of historic resource; tax credit; definitions.
          Section 208.1437 ‑ Qualified taxpayer with unused credits or preapproval letter; taxpayer not receiving certificate of completion; tax credit; project $2,000,000.00 or less; project more than $2,000,000.00 but $10,000,000.00 or less; project more than $10,000,000.00; application to Michigan economic growth authority; functionally obsolete property; approval of projects; limitations; multiphase project; documentation of completed project; addition of personal property; credit assignment; designation as urban development area project; professional sports stadiums; casinos; landfills; report; total credits; definitions.
          Section 208.1439 ‑ Qualified low-grade hematite consumed in industrial or manufacturing process; tax credit; definitions.
          Section 208.1441 ‑ Michigan entrepreneurial credit; conditions; definitions.
          Section 208.1445 ‑ Taxpayer as new motor vehicle dealer; tax credit; "new motor vehicle inventory" defined.
          Section 208.1446 ‑ Ownership, operation, or control of exhibition open to public; tax credit.
          Section 208.1447 ‑ Tax credit equal to 1.0% of taxpayer's compensation; "eligible taxpayer" defined.
          Section 208.1449 ‑ Tax credit equal to 0.125% of taxpayer's compensation.
          Section 208.1450 ‑ Research and development of qualified technology; tax credit; definitions.
          Section 208.1450a ‑ Tax credit under section 34 of former 1975 PA 228; tax credit under MCL 208.1450; tax credit under MCL 208.1405.
          Section 208.1451 ‑ Tax credit; excess amount; refund prohibited; definitions.
          Section 208.1453 ‑ Private equity fund manager; tax credit; definitions.
          Section 208.1455 ‑ Michigan film office; agreement with eligible production company; tax credit; requirements; application; form; fee; considerations; determination of compliance with terms of agreement; issuance of postproduction certificate of completion; confidentiality of information, records, or other data; availability of semiannual report on website; assignment of credit; submission of fraudulent or false information; annual report; definitions.
          Section 208.1457 ‑ Qualified film and digital media infrastructure project; tax credit.
          Section 208.1459 ‑ Eligible production company; tax credit.
          Section 208.1460 ‑ Service station owner; conversion or creation of fuel delivery systems to provide E85 fuel or qualified biodiesel blends; tax exemption; definitions.
          Section 208.1461 ‑ Tax credit by taxpayer other than regulated utility.
          Section 208.1471 ‑ Dealer, distributor, manufacturer, or seller of cigarettes or tobacco products; tax credit.
     36‑2007‑5 ‑ CHAPTER 5 (208.1500...208.1601)
          Section 208.1500 ‑ Taxpayer with certificated credit or unused carryforward.
          Section 208.1501 ‑ Estimated return and payment.
          Section 208.1503 ‑ Computation of tax for portion of year.
          Section 208.1505 ‑ Annual or final return; date of filing; extension.
          Section 208.1507 ‑ Return; filing; true and correct copy; amended return.
          Section 208.1508 ‑ Overpayment of tax; filing claim for refund; limitation; assessment; appropriation.
          Section 208.1509 ‑ Information return required by internal revenue code; filing required.
          Section 208.1510 ‑ Issuance of certificate of completion, assignment certificate, or component completion certificate or certificate of completed rehabilitation, assignment certificate, or reassignment certificate; refundable credit; refundable voucher certificate; assignment or reassignment of tax credit.
          Section 208.1511 ‑ Unitary business group; filing.
          Section 208.1512 ‑ Disregarded entity; classification; filing amended return; treatment as person separate from owner.
          Section 208.1513 ‑ Administration of tax; rules; forms; preparation and publication of statistics.
          Section 208.1515 ‑ Distribution to school aid fund; deposit of balance to general fund; reduction; deposit after 2010-2011 fiscal year; "United States consumer price index" defined.
          Section 208.1517 ‑ Implementation of act; appropriation; carrying forward unexpended funds.
          Section 208.1519 ‑ Severability of provisions.
          Section 208.1601 ‑ Refund of excess amounts; deposit into countercyclical budget and economic stabilization fund; disposition of taxpayer's pro rata share; definitions.

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