2005 Senate Bill 633 (Cut SBT tax rate) (House Roll Call 623)

Passed in the House (104 to 1) on November 10, 2005, to reduce the Single Business Tax rate from 1.9 percent to 1.85 percent in 2009, and restrict the use of tax-reducing alternative gross receipts tax calculations and "excess compensation" credits. The bill is part of an agreement struck between Gov. Jennifer Granholm and Republican legislative leaders to adopt modest business tax cuts and a scaled-down “21st Century Jobs Fund." The package would also lower the SBT that businesses pay on their employee health insurance costs beginning in 2009; reduce the alternative SBT tax rate charged to small businesses from 2 percent to 1.9 percent; provide a refundable SBT credit against a portion of the property taxes paid on industrial tools and equipment; reduce but not eliminate the weighting of in-state payroll and property in calculating a firm's SBT liability; and offset these tax cuts by eliminating a number of existing tax credits and deductions. The net reduction in business tax burden over six years would be $472 million, or approximately two-tenths of one percent of state spending over that period. Full details of the deal are described by a Senate Fiscal Agency analysis (pdf). [History, Amendments & Comments]

The vote was 104 in favor, 1 opposed, and 5 not voting
(House Roll Call 623 at House Journal 99)

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Vote Support Oppose Not Voting Undecided

Legislators (Democrat) 88% 1% 9% 52 total votes

Legislators (Republican) 100% 0% 0% 58 total votes

The following legislators supported 2005 Senate Bill 633 (Cut SBT tax rate):

The following legislators opposed 2005 Senate Bill 633 (Cut SBT tax rate):

The following legislators did not vote on 2005 Senate Bill 633 (Cut SBT tax rate):

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