2021 House Bill 5351 / Public Act 150

Index business tools-and-equipment tax threshold to inflation

Introduced in the House

Sept. 29, 2021

Introduced by Rep. Steven Johnson (R-72)

To revise a small business exemption on paying property taxes on the value of their tools and equipment (called the “personal property tax), by indexing the current $80,000 cap on the exemption to inflation.

Referred to the Committee on Tax Policy

Dec. 8, 2021

Reported without amendment

Without amendment and with the recommendation that the bill pass.

Substitute offered by Rep. Steven Johnson (R-72)

To adopt a version of the bill that doubles the current small business personal property tax exemption, not just indexes it to inflation (but do that too).

The substitute passed by voice vote

Passed in the House 58 to 46 (details)

To double the a small business exemption on the value of business tools and equipment subject to property taxes (called the “personal property tax"), from $80,000 to $160,000, and also index this to inflation going forward.

Received in the Senate

Dec. 9, 2021

Referred to the Committee of the Whole

Dec. 14, 2021

Passed in the Senate 21 to 15 (details)

Received in the House

Dec. 14, 2021

Passed in the House 58 to 45 (details)

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

Signed by Gov. Gretchen Whitmer

Dec. 23, 2021