This bill amends the Use Tax Act to exempt the storage, use, or consumption of firearm safety devices from the sales and use tax in Michigan. The tax exemption applies to the retail sale or transfer of firearms, requiring sellers to provide written notice to purchasers and to display a conspicuous notice at points of sale stating that firearm safety devices are exempt from the state's sales and use tax. The previous provision that limited this exemption to a specific timeframe has been removed, making the exemption permanent.

Additionally, the bill defines "firearm safety device" as equipment designed to prevent unauthorized access to or operation of a firearm, including devices that deactivate the firearm or secure storage options like gun safes and lockboxes. However, it explicitly excludes display cabinets primarily intended for showcasing firearms. The legislature also expresses its intent to ensure that any revenue loss to the state school aid fund due to this exemption will be compensated through annual appropriations from the state general fund.

Statutes affected:
Substitute (H-2): 205.94
House Introduced Bill: 205.94
As Passed by the House: 205.94