A bill to amend 1967 PA 281, entitled “Income tax act of 1967,” (MCL 206.1 to 206.847) by adding section 714.
This bill proposes to allow tax-exempt employers, specifically those under section 501(c) of the Internal Revenue Code, to claim a work opportunity tax credit against state withholding taxes. The credit is for qualified wages paid to certified employees and is equal to 50% of the federal credit allowed under section 51 of the Internal Revenue Code. However, the calculation of this credit excludes amounts for non-qualified employees and unused credits from other tax years. Employers are required to claim this credit on their annual tax return, and any excess credit is non-refundable.
Co-sponsored by Reps.
Referred to the Committee on Tax Policy
