Introduced
by
To eliminate a provision in current law that postpones an annual one-tenth percent Single Business Tax (SBT) cut if the balance in the Budget Stabilization Fund (BSF, or “rainy day fund”) falls below $250 million. Under this law, the SBT was originally supposed to be phased out with 23 annual one-tenth percent tax cuts. However, when the legislature passed House Bill 5883 in 2002 reducing the balance in the BSF to less than $250 million and thereby postponing further SBT cuts, they also passed Senate Bill 1322, which is supposed to end the SBT after the year 2009. In 2005 Gov. Jennifer Granholm proposed keeping the SBT, but redistributing its burden to different industries.
Referred to the Committee on Tax Policy
