2016 House Bill 5889 / Public Act 431

Exempt some agricultural equipment from sales tax

Introduced in the House

Sept. 15, 2016

Introduced by Rep. Dan Lauwers (R-81)

To exempt from sales tax the sale of agricultural land tile, portable grain bins, and grain handling equipment sold to a contractor to install as a structural part of real estate used for agriculture purposes.

Referred to the Committee on Agriculture

Sept. 21, 2016

Reported without amendment

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

Nov. 10, 2016

Amendment offered by Rep. Dan Lauwers (R-81)

To clarify that the exemption also applies to machinery used to install land or irrigation tile.

The amendment passed by voice vote

Nov. 29, 2016

Amendment offered by Rep. Dan Lauwers (R-81)

To clarify that the exemption is limited to equipment used for agricultural purposes.

The amendment passed by voice vote

Passed in the House 107 to 0 (details)

Received in the Senate

Nov. 30, 2016

Referred to the Committee on Agriculture

Dec. 6, 2016

Reported without amendment

With the recommendation that the bill pass.

Dec. 8, 2016

Amendment offered by Sen. Joe Hune (R-22)

To clarify the scope of the tax break.

The amendment passed by voice vote

Passed in the Senate 37 to 0 (details)

To exempt from sales tax the sale of agricultural land tile, portable grain bins, and grain handling equipment sold to a contractor to install as a structural part of real estate used for agriculture purposes.

Received in the House

Dec. 8, 2016

Dec. 14, 2016

Amendment offered by Rep. Dan Lauwers (R-81)

To clarify the drain tile tax break is for products used in agriculture only.

The amendment passed by voice vote

Passed in the House 107 to 0 (details)

To exempt from sales tax the sale of agricultural land tile, portable grain bins, and grain handling equipment sold to a contractor to install as a structural part of real estate used for agriculture purposes.

Received in the Senate

Dec. 14, 2016

Passed in the Senate 37 to 0 (details)

To concur with the House-passed version of the bill.

Signed by Gov. Rick Snyder

Dec. 31, 2016