Bill Text: MI HB6434 | 2017-2018 | 99th Legislature | Engrossed
Bill Title: Individual income tax; credit; credit for donation to a community foundation; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.713) by adding sec. 261. TIE BAR WITH: HB 6433'18
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2018-12-13 - Referred To Committee On Finance [HB6434 Detail]
Download: Michigan-2017-HB6434-Engrossed.html
HB-6434, As Passed House, December 13, 2018
SUBSTITUTE FOR
HOUSE BILL NO. 6434
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
(MCL 206.1 to 206.713) by adding section 261.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 261. (1) For tax years beginning on and after January 1,
2019, a taxpayer may credit against the tax imposed by this part
for the tax year an amount, subject to the applicable limitations
under this section, equal to 50% of the amount the taxpayer
contributes during the tax year to a community foundation. For a
taxpayer other than a resident estate or trust, the credit allowed
under this subsection shall not exceed $100.00, or $200.00 for a
joint return. For a resident estate or trust, the credit allowed
under this subsection shall not exceed 10% of the taxpayer's tax
liability for the tax year before claiming any credits allowed by
this part or $5,000.00, whichever is less. For a resident estate or
trust, the amount used to calculate the credits under this section
shall not have been deducted in arriving at federal taxable income.
(2) If the amount of the credits allowed under this section
exceeds the tax liability of the taxpayer for the tax year, the
portion that exceeds the tax liability shall not be refunded.
(3) On or before July 1 of each year, the department shall
report to the house committee on tax policy and the senate finance
committee the total amount of tax credits claimed under this
section for the immediately preceding tax year.
(4) As used in this section, "community foundation" means an
organization that applies for certification on or before May 15 of
the tax year for which the taxpayer is claiming the credit and that
the department certifies for that tax year as meeting the
requirements of a community foundation as provided in section 3 of
the Michigan community foundation act, 2017 PA 38, MCL 123.901.
However, for purposes of this section, the organization only needs
to have assets of at least $1,000,000.00 to qualify for
certification by the department.
Enacting section 1. This amendatory act does not take effect
unless House Bill No. 6433 of the 99th Legislature is enacted into
law.
