The bill amends section 36109 of the Michigan Public Act 451 of 1994, which pertains to tax credits for owners of farmland and related buildings under development rights agreements or agricultural conservation easements. It allows eligible owners to claim a credit against their state income tax liability for property taxes exceeding 3.5% of their household income. The bill outlines specific provisions for different ownership structures, including partnerships, corporations, life estates, trusts, and limited liability companies, detailing how property taxes should be apportioned among owners. Additionally, it establishes eligibility criteria for claiming credits under the Michigan business tax act for those not covered by the income tax provisions.

The bill also introduces a requirement for landowners to submit a recorded copy of a permanent conservation easement to the Department of Agriculture and Rural Development by November 1 to obtain a tax credit for the current tax year. Furthermore, it stipulates that if a person applied for a development rights agreement in 2017 and received approval between 2023 and 2025, they may claim a credit for tax years 2017 and 2018 by December 31, 2026. The enactment of this bill is contingent upon the passage of several other specified bills from the 103rd Legislature.

Statutes affected:
Senate Introduced Bill: 324.36109
As Passed by the Senate: 324.36109
As Passed by the House: 324.36109
Senate Concurred Bill: 324.36109
Senate Enrolled Bill: 324.36109