SENATE BILL No. 1170

 

 

March 16, 2006, Introduced by Senators VAN WOERKOM and SIKKEMA and referred to the Committee on Finance.

 

 

 

     A bill to repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Enacting section 1. Enacting section 1 of 2002 PA 531 is

 

repealed.

 

     Enacting section 2. Enacting section 3 of 1999 PA 115 is

 

repealed.

 

     Enacting section 3. The single business tax act, 1975 PA 228,

 

MCL 208.1 to 208.145, is repealed effective for tax years that

 

begin after September 30, 2007.

 

     Enacting section 4. The legislature shall not replace revenues

 

not collected based on the repeal by this act of the single

 

business tax act, 1975 PA 228, MCL 208.1 to 208.145, with an

 

increase in the rate or base of any of the following:

 

     (a) The state income tax imposed under the income tax act of


 

1967, 1967 PA 281, MCL 206.1 to 206.532.

 

     (b) The sales tax imposed under the general sales tax act,

 

1933 PA 167, MCL 205.51 to 205.78.

 

     (c) The use tax imposed under the use tax act, 1937 PA 94, MCL

 

205.91 to 205.111.

 

     (d) Taxes collected on residential real property that is not

 

leased or rented for more than 50% of any calendar year and on

 

principal residences. As used in this subdivision:

 

     (i) "Principal residence" means property exempt under section

 

7cc of the general property tax act, 1893 PA 206, MCL 211.7cc.

 

     (ii) "Residential real property" means property classified as

 

residential real property under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c.

 

     (e) Any other tax the economic incidence of which is on

 

individuals.

 

     Enacting section 5. Before January 1, 2007, the governor's

 

council of economic advisors, created in Executive Order No. 2003-

 

8, shall develop a plan to replace all or a portion of the revenues

 

not collected related to the repeal of the single business tax act,

 

1975 PA 228, MCL 208.1 to 208.145, by this act. Before January 1,

 

2007, the governor's council of economic advisors shall report the

 

plan to the governor, the senate majority leader, the speaker of

 

the house of representatives, and the senate and house standing

 

committees that deal with tax and finance matters.