HOUSE BILL No. 6618

 

November 14, 2006, Introduced by Rep. Kolb and referred to the Committee on Tax Policy.

 

     A bill to provide for certain credits for the use of recycled

 

products.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. (1) For tax years beginning after December 31, 2007, a

 

taxpayer may claim a credit against a tax designated by law as the

 

successor tax to the former single business tax act, 1975 PA 225,

 

MCL 208.1 to 208.145, equal to 10% of the cost paid in the tax year

 

for eligible recycled products.

 

     (2) A taxpayer that claims a credit under this act shall

 

attach an affidavit stating all of the following to the annual

 

return required under the act designated by law as the successor

 

act to the former single business tax act, 1975 PA 225, MCL 208.1

 


to 208.145, on which the credit is claimed:

 

     (a) The type and amount of eligible recycled products

 

purchased in the tax year.

 

     (b) A statement attesting that the recycled products are

 

eligible recycled products.

 

     (3) Not later than March 31, 2008, the department shall file a

 

report with the legislature that provides all of the following

 

information:

 

     (a) The number of taxpayers that claimed the credit under this

 

act.

 

     (b) The total value of all credits claimed under this act.

 

     (c) The total increase in recycled products used in this state

 

as a result of the credit allowed under this act.

 

     (4) As used in this act:

 

     (a) "Department" means the department of treasury.

 

     (b) "Eligible recycled product" means a recycled product

 

purchased by a taxpayer and used by the taxpayer for a business

 

purpose that is of a type of product that is different from any

 

recycled product the taxpayer purchased prior to December 31, 2007.

 

     (c) "Recycled materials" means all of the following:

 

     (i) Materials produced from waste materials generated by a

 

business or a consumer.

 

     (ii) Materials that have served their intended purpose.

 

     (iii) Materials that have been separated from solid waste for

 

purposes of collection, recycling, and disposition

 

     (d) "Recycled product" means a product that contains recycled

 

materials; reused, reconditioned, or remanufactured material; or

 


recycled raw material.