October 19, 2016, Introduced by Reps. Talabi, Durhal, Faris, Hoadley, Schor, Pagan, Wittenberg, Geiss, Chang, Love, Rutledge, Garrett, Banks, Byrd, Chirkun, Cochran, Moss, Yanez, Brinks, Dianda, Lane, Greig, Gay-Dagnogo and Robinson and referred to the Committee on Tax Policy.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
(MCL 206.1 to 206.713) by adding section 254.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 254. (1) For tax years that begin after December 31,
2016, a qualified taxpayer may claim a credit against the tax
imposed by this part equal to 75% of the cost paid by the taxpayer,
not to exceed $5,000.00, for qualified renovations made to the home
of the qualified taxpayer.
(2) The credit allowed under this section shall be taken only
in the tax year in which the qualified renovations for which a
credit will be claimed are completed and shall be claimed for only
1 tax year for qualified renovations made by or on behalf of any
qualified taxpayer. The department may require reasonable proof
from the taxpayer in support of the costs claimed under this
section.
(3) If the credit allowed under this section exceeds the tax
liability of the taxpayer for the tax year, the amount by which the
credit exceeds the taxpayer's tax liability shall be refunded.
(4) As used in this section:
(a) "Federal poverty guidelines" means the poverty guidelines
updated annually in the Federal Register by the United States
Department of Health and Human Services under authority of 42 USC
9902(2).
(b) "Home" means a principal residence exempt under section
7cc of the general property tax act, 1893 PA 206, MCL 211.7cc.
(c) "Qualified renovations" means renovations, additions, or
other construction made to a home that are any of the following:
(i) Changes to provide mobility assistance and accommodate the
physical needs of a senior citizen, including, but not limited to,
bath bars, ramps, safety features, door widening, access changes,
wheelchair lifts, stairwell lifts, and refitting of fixtures.
(ii) Any change to the home that is made to meet local or
state building codes, ordinances, statutes, or rules that regulate
housing for persons with disabilities.
(d) "Person with disabilities" means that term as defined in
section 103 of the persons with disabilities civil rights act, 1976
PA 220, MCL 37.1103.
(e) "Qualified taxpayer" means a senior citizen whose
household income is not more than 185% of the federal poverty
guidelines.
(f) "Senior citizen" means an individual who is 60 years of
age or older at the close of the tax year.