SENATE BILL NO. 349

A bill to amend 1967 PA 281, entitled

"Income tax act of 1967,"

(MCL 206.1 to 206.713) by adding section 275.

the people of the state of michigan enact:

Sec. 275. (1) For tax years that begin on and after January 1, 2021, a taxpayer may claim a credit against the tax imposed by this act equal to the following specified percentages of the credit the taxpayer is allowed to claim as a credit under section 21 of the internal revenue code for a tax year on a return filed under this act for the same tax year:

(a) For a taxpayer with an adjusted gross income as defined in the internal revenue code of less than $25,000.00, 110%.

(b) For a taxpayer with an adjusted gross income as defined in the internal revenue code of $25,000.00 or more but less than $40,000.00, 100%.

(c) For a taxpayer with an adjusted gross income as defined in the internal revenue code of $40,000.00 or more but less than $65,000.00, 80%.

(d) For a taxpayer with an adjusted gross income as defined in the internal revenue code of $65,000.00 or more but less than $100,000.00, 20%.

(e) For a taxpayer with an adjusted gross income as defined in the internal revenue code of $100,000.00 or more, 0%.

(2) If the credit allowed by this section exceeds the tax liability of the taxpayer for the tax year, that portion of the credit that exceeds the tax liability shall be refunded.