The bill amends the Income Tax Act of 1967 by updating the definitions of "Dependent," "Employee," and "Employer" within Section 8. Notably, the definition of "Dependent" is expanded to include not only qualifying children and relatives as defined by the Internal Revenue Code but also introduces a new category for fetuses. Specifically, for tax years beginning on or after January 1, 2025, a fetus that has completed a specified number of weeks of gestation and has been under medical care is recognized as a dependent. This addition includes definitions for "fetus" and "physician" to clarify the new provision.

Additionally, the bill removes the previous wording that simply defined "Dependent" as a dependent, thereby streamlining the language to reflect the new categories. The definitions for "Employee" and "Employer" remain consistent with their existing definitions in the Internal Revenue Code, ensuring that the bill maintains alignment with federal tax regulations. Overall, the amendments aim to modernize the tax code in Michigan by recognizing the status of fetuses as dependents for tax purposes.

Statutes affected:
Senate Introduced Bill: 206.8