HOUSE BILL No. 4586


     April 9, 1997, Introduced by Reps. Wallace, Baird, Scott, Kelly, Dobronski, Cassis and Nye and referred to the Committee on Tax Policy.


        A bill to amend 1937 PA 94, entitled

   "Use tax act,"

   (MCL 205.91 to 205.111) by adding section 4m.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         SEC. 4M.  (1) THE TAX LEVIED UNDER THIS ACT DOES NOT APPLY

 2    TO THE STORAGE, USE, OR CONSUMPTION OF INVESTMENT COINS AND

 3    BULLION.

 4         (2) AS USED IN THIS SECTION:

 5         (A) "BULLION" MEANS GOLD, SILVER, PLATINUM, OR PALLADIUM IN

 6    A BULK STATE, WHERE ITS VALUE DEPENDS ON ITS CONTENT RATHER THAN

 7    ITS FORM, WITH A PURITY OF NOT LESS THAN 900 PARTS PER 1,000.

 8         (B) "INVESTMENT COINS" MEANS NUMISMATIC COINS OR OTHER FORMS

 9    OF MONEY AND LEGAL TENDER MANUFACTURED OF GOLD, SILVER, PLATINUM,

10    PALLADIUM, OR OTHER METAL AND ISSUED BY THE UNITED STATES




   02885'97                                                 CSC
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 1    GOVERNMENT OR A FOREIGN GOVERNMENT WITH A FAIR MARKET VALUE

 2    GREATER THAN THE FACE VALUE OF THE COINS.

 3         Enacting section 1.  This amendatory act does not take

 4    effect unless House Bill No. 4186 of the 89th Legislature is

 5    enacted into law.














































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