Introduced
by
To reduce from 2 percent to 1 percent the alternative Single Business Tax (SBT) tax rate charged to small businesses with receipts of less than $10 million, and which cap the owners' compensation.
Referred to the Committee on Finance
Reported without amendment
With the recommendation that the bill pass.
Amendment offered
To increase the maximum compensation a company official can earn without disqualifying the firm from the lower tax rate, from $115,000 to $125,000. A company whose proprietors or managers earn more than this amount is prohibited from calculating its SBT liability using this alternative method, even if its sales fall below the $10 million annual threshold.
The amendment passed by voice vote
Passed in the Senate 22 to 15 (details)
To reduce from 2 percent to 1 percent the alternative Single Business Tax (SBT) tax rate charged to small businesses with receipts of less than $10 million, and which cap the owners' compensation. Also, to increase from $115,000 to $125,000 the maximum annual compensation a firm's proprietor or manager can earn without disqualifying the company from this lower tax rate.
Referred to the Committee on Tax Policy
Reported without amendment
Without amendment and with the recommendation that the bill pass.
Amendment offered
by
To narrow the number of firms eligible for the lower tax rate by allowing it only for those organized as a corporation for federal tax purposes.
The amendment failed 49 to 57 (details)
Amendment offered
by
To narrow the number of firms eligible for the lower tax rate by allowing it only for those whose business activities both inside and outside Michigan amount to less than the revenue threshold.
The amendment failed 49 to 57 (details)
Amendment offered
by
To clarify the application of certain business revenue eligibility thresholds in the bill.
The amendment passed by voice vote
Amendment offered
by
To not allow the alternative tax rate for small businesses that are based in a "tax haven" country, or are located here "for the purpose of inducing the enterprise to locate outside" Michigan or the U.S., or that "contribute to the violation of internationally recognized workers rights" of workers in other countries (including "acceptable" miniumum wages and occupational health and safety regulations), and more.
The amendment failed 52 to 54 (details)
Passed in the House 65 to 40 (details)
To reduce from 2 percent to 1 percent the alternative Single Business Tax (SBT) tax rate charged to small businesses with receipts of less than $10 million, and which cap the owners' compensation. Also, to increase from $115,000 to $125,000 the maximum annual compensation a firm's proprietor or manager can earn without disqualifying the company from this lower tax rate.
Passed in the Senate 23 to 14 (details)
