2012 House Bill 5699 / Public Act 223

Cut state income tax

Introduced in the House

May 29, 2012

Introduced by Rep. Ed McBroom (R-108)

To speed up an income tax cut from 4.35 percent to 4.25 percent that under current law will happen on Jan, 1, 2013. Under the bill, it would go into effect on Oct. 1, 2012. See also House Bill 5700, which increases the personal income tax exemption.

Referred to the Committee on Tax Policy

May 30, 2012

Reported without amendment

Without amendment and with the recommendation that the bill pass.

June 5, 2012

Amendment offered by Rep. Phil Cavanagh (D-17)

To tie-bar the bill to House Bill 5407, meaning this bill cannot become law unless that one does also. HB 5407 would increase the state Earned Income Tax Credit, a “refundable” tax credit (or “reverse income tax”) for low income workers.

The amendment failed by voice vote

Amendment offered by Rep. Tim Greimel (D-29)

To lower the state income tax to 3.9 percent.

The amendment failed by voice vote

June 6, 2012

Passed in the House 103 to 5 (details)

Motion

To give the bill immediate effect.

The motion passed 99 to 9 (details)

Received in the Senate

June 7, 2012

Referred to the Committee on Finance

June 14, 2012

Reported without amendment

With the recommendation that the bill pass.

Amendment offered by Sen. Bert Johnson (D-2)

To cut the income tax rate to zero.

The amendment failed 16 to 21 (details)

Passed in the Senate 31 to 7 (details)

To speed up an income tax cut from 4.35 percent to 4.25 percent that under current law will happen on Jan, 1, 2013. Under the bill, it would go into effect on Oct. 1, 2012. See also House Bill 5700, which increases the personal income tax exemption.

Signed by Gov. Rick Snyder

June 27, 2012