An act to amend 1933 PA 167, entitled “An act to provide for the raising of additional public revenue by prescribing certain specific taxes, fees, and charges to be paid to the state for the privilege of engaging in certain business activities; to provide, incident to the enforcement thereof, for the issuance of licenses to engage in such occupations; to provide for the ascertainment, assessment and collection thereof; to appropriate the proceeds thereof; and to prescribe penalties for violations of the provisions of this act,” by amending section 4g (MCL 205.54g), as amended by 2015 PA 171.
House Bills 4377 and 4378 would amend the Use Tax Act and the General Sales Tax Act, respectively, to add definitions of the terms “food sold with eating utensils provided by the seller” and “food sold in an unheated state by weight or volume as a single item” as they relate to the definition of “prepared food” and the exemption of the sale or purchase of food or food ingredients. Currently, each act exempts the sale or purchase of food or food ingredients from the sales and use tax, except for prepared food intended for immediate consumption. The acts specifically include food sold with eating utensils provided by the seller in the definition of prepared food and further specify that eating utensils include knives, forks, spoons, glasses, cups, napkins, straws, or plates, but do not include a container or packaging to transport the food. The bills would add that the applicable utensils are not limited to those specified in statute and would add a definition of food sold with eating utensils provided by the seller.
Introduced
by
Referred to the Committee on Tax Policy
Reported with substitute H-1
Substitute H-1 concurred in by voice vote
1. Amend page 1, line 6, after “ingredients” by striking out the balance of the line through “consumption.” on line 7 and inserting a period.
2. Amend page 2, line 18, by striking out all of subsection (2) and renumbering the remaining subsection.
3. Amend page 3, line 2, after “(3)” by striking out the balance of the line through “(c)” on line 16.
4. Amend page 3, line 21, by striking out the balance of the bill.
The amendment failed by voice vote
Passed in the House 56 to 53 (details)
Motion to give immediate effect
by
The motion prevailed by voice vote
Referred to the Committee on Finance, Insurance, and Consumer Protection
Reported without amendment
Referred to the Committee of the Whole
Reported without amendment
Passed in the Senate 20 to 18 (details)
