September 9, 2015, Introduced by Senators COLBECK, SCHUITMAKER and HANSEN and referred to the Committee on Finance.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
(MCL 206.1 to 206.713) by adding section 260.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 260. (1) For tax years that begin after December 31,
2015, a taxpayer may credit against the tax imposed by this act for
the tax year an amount, subject to the applicable limitations
provided by this section, equal to 50% of the aggregate amount of
charitable contributions made by the taxpayer during the tax year
to any of the following:
(a) This state pursuant to the Faxon-McNamee art in public
places act, 1980 PA 105, MCL 18.71 to 18.81, of an artwork created
by the taxpayer, for display in a public place.
(b) The state art in public places fund created pursuant to
the Faxon-McNamee art in public places act, 1980 PA 105, MCL 18.71
(c) A municipality in this state of an artwork created by the
personal effort of the taxpayer for display in a public place.
(d) Either a municipality of this state or a nonprofit
corporation affiliated with both a municipality and an art
institute located in the municipality, of money or artwork, whether
or not created by the personal effort of the taxpayer, if for the
purpose of benefiting an art institute located in that
(e) A public library.
(f) A public broadcast station as defined by section 397 of
the communications act of 1934, 47 USC 397, that is not affiliated
with an institution of higher learning and that is located within
(g) An institution of higher learning located within this
(h) The Michigan Colleges Foundation.
(i) The state museum.
(j) The department of state for the purpose of preservation of
the state archives.
(k) A nonprofit corporation, fund, foundation, trust, or
association organized and operated exclusively for the benefit of
institutions of higher learning located within this state. A tax
credit for a contribution described in this subdivision is
permitted only if the donee corporation, fund, foundation, trust,
or association is controlled or approved and reviewed by the
governing board of the institution benefiting from the charitable
contribution. The nonprofit corporation, fund, foundation, trust,
or association shall provide copies of its annual independently
audited financial statements to the auditor general of this state
and chairpersons of the senate and house appropriations committees.
(2) For a taxpayer other than a resident estate or trust, the
amount allowable as a credit under this section for a tax year
shall not exceed $100.00, or for a joint return as provided in
section 311, $200.00.
(3) For a resident estate or trust, the amount allowable as a
credit under this section for a tax year shall not exceed 10% of
the tax liability for the year as determined without regard to this
section or $5,000.00, whichever is less, and shall not have been
deducted in arriving at federal taxable income.
(4) As used in this section:
(a) "Institution of higher learning" means only an educational
institution located within this state that meets all of the
(i) It maintains a regular faculty and curriculum and has a
regularly enrolled body of students in attendance at the place
where its educational activities are carried on.
(ii) It regularly offers education above the twelfth grade.
(iii) It awards associate, bachelor's, master's, or doctorate
degrees or a combination of those degrees or higher education
credits acceptable for those degrees granted by other institutions
of higher learning.
(iv) It is recognized by the state board of education as an
institution of higher learning and appears as an institution of
higher learning in the annual publication of the department of
education entitled "The Directory of Institutions of Higher
(b) "Public library" means that term as defined in section 2
of the state aid to public libraries act, 1977 PA 89, MCL 397.552.
(c) "Contributions made by the taxpayer" means, but is not
limited to, the fair market value of artwork created by the
personal effort of the taxpayer that is donated to and accepted as
a donation by a qualified organization. The fair market value of a
piece of artwork shall be determined at the time of the donation by
(d) "Artwork" means an original, visual creation of quality
executed in any size or shape, in any media, using any kind or type