A bill to amend 1967 PA 281, entitled “Income tax act of 1967,” (MCL 206.1 to 206.847) by adding section 253.
House Bill No. 5808 aims to amend the Income Tax Act of 1967 by adding section 253 to provide a tax credit for homeowners who make qualified improvements to their principal residence. Starting from January 1, 2025, taxpayers can claim a credit of 10% of the expenses incurred for such improvements, with a maximum credit of $3,000. If the credit amount exceeds the taxpayer's liability for the tax year, the excess will be refunded. Qualified improvements include renovations that enhance the home's value, extend its usability, or improve energy efficiency, such as kitchen and bathroom updates, and structural changes to comply with building codes. To claim the credit, taxpayers must provide verification of the expenses incurred on the qualified home improvements.
Co-sponsored by Reps.
Referred to the Committee on Tax Policy
