Highlights:

• Establishes deductions to funds allocated during the tax year to an SOS account pursuant to the student opportunity scholarship program created under the student opportunity scholarship act and used for qualifying education expenses of an SOS student as provided in the student opportunity scholarship act (Sec. 2).

• Authorizes taxpayers to claim a credit against the tax imposed by this part for the tax year in an amount up to 100 percent of the total amount of contributions made by the taxpayer during the tax year to 1 or more scholarship granting organizations certified by the department and participating in the student opportunity scholarship program (Sec. 2)

• Specifies a taxpayer who is a resident tribal member may deduct, to the extent included in adjusted gross income, all nonbusiness income earned or received in the tax year and during the period in which an agreement entered into between the taxpayer's tribe and this state in full force and effect as used in this subdivision (Sec. 2):

• All income derived from wages whether the wages are earned within the agreement area or outside of the agreement area;

• All interest and passive dividends;

• All rents and royalties derived from real property located within the agreement area;

• All rents and royalties derived from tangible personal property, to the extent the personal property is utilized within the agreement area;

• Capital gains from the sale or exchange of real property located within the agreement area;

• Capital gains from the sale or exchange of tangible personal property located within the agreement area at the time of sale;

• Capital gains from the sale or exchange of intangible personal property;

• All pension income and benefits including, but not limited to, distributions from a 401(k) plan, individual retirement accounts under section 408 of the internal revenue code, or a defined contribution plan, or payments from a defined benefit plan;

• All per capita payments by the tribe to resident tribal members, without regard to the source of payment; and

• All gaming winnings.

Vetoed by Governor Gretchen Whitmer

Highlights:

• Establishes deductions to funds allocated during the tax year to an SOS account pursuant to the student opportunity scholarship program created under the student opportunity scholarship act and used for qualifying education expenses of an SOS student as provided in the student opportunity scholarship act (Sec. 2).

• Authorizes taxpayers to claim a credit against the tax imposed by this part for the tax year in an amount up to 100 percent of the total amount of contributions made by the taxpayer during the tax year to 1 or more scholarship granting organizations certified by the department and participating in the student opportunity scholarship program (Sec. 2)

• Specifies a taxpayer who is a resident tribal member may deduct, to the extent included in adjusted gross income, all nonbusiness income earned or received in the tax year and during the period in which an agreement entered into between the taxpayer's tribe and this state in full force and effect as used in this subdivision (Sec. 2):

• All income derived from wages whether the wages are earned within the agreement area or outside of the agreement area;

• All interest and passive dividends;

• All rents and royalties derived from real property located within the agreement area;

• All rents and royalties derived from tangible personal property, to the extent the personal property is utilized within the agreement area;

• Capital gains from the sale or exchange of real property located within the agreement area;

• Capital gains from the sale or exchange of tangible personal property located within the agreement area at the time of sale;

• Capital gains from the sale or exchange of intangible personal property;

• All pension income and benefits including, but not limited to, distributions from a 401(k) plan, individual retirement accounts under section 408 of the internal revenue code, or a defined contribution plan, or payments from a defined benefit plan;

• All per capita payments by the tribe to resident tribal members, without regard to the source of payment; and

• All gaming winnings.

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that establish tax credits for individuals who contributed to a scholarship program for students to use on alternative or supplemental education, including nonpublic schools.

Highlights:

• Establishes deductions to funds allocated during the tax year to an SOS account pursuant to the student opportunity scholarship program created under the student opportunity scholarship act and used for qualifying education expenses of an SOS student as provided in the student opportunity scholarship act (Sec. 2).

• Authorizes taxpayers to claim a credit against the tax imposed by this part for the tax year in an amount up to 100 percent of the total amount of contributions made by the taxpayer during the tax year to 1 or more scholarship granting organizations certified by the department and participating in the student opportunity scholarship program (Sec. 2)

• Specifies a taxpayer who is a resident tribal member may deduct, to the extent included in adjusted gross income, all nonbusiness income earned or received in the tax year and during the period in which an agreement entered into between the taxpayer's tribe and this state in full force and effect as used in this subdivision (Sec. 2):

• All income derived from wages whether the wages are earned within the agreement area or outside of the agreement area;

• All interest and passive dividends;

• All rents and royalties derived from real property located within the agreement area;

• All rents and royalties derived from tangible personal property, to the extent the personal property is utilized within the agreement area;

• Capital gains from the sale or exchange of real property located within the agreement area;

• Capital gains from the sale or exchange of tangible personal property located within the agreement area at the time of sale;

• Capital gains from the sale or exchange of intangible personal property;

• All pension income and benefits including, but not limited to, distributions from a 401(k) plan, individual retirement accounts under section 408 of the internal revenue code, or a defined contribution plan, or payments from a defined benefit plan;

• All per capita payments by the tribe to resident tribal members, without regard to the source of payment; and

• All gaming winnings.

Full Bill Text