HOUSE BILL No. 5055


     July 15, 1997, Introduced by Rep. Profit and referred to the Committee on Tax Policy.


        A bill to amend 1967 PA 281, entitled

   "Income tax act of 1967,"

   (MCL 206.1 to 206.532) by adding section 266.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         SEC. 266.  (1) FOR THE 1997 TAX YEAR AND EACH TAX YEAR AFTER

 2    THE 1997 TAX YEAR, A TAXPAYER MAY CREDIT AGAINST THE TAX IMPOSED

 3    BY THIS ACT AN AMOUNT EQUAL TO THE AMOUNT THE TAXPAYER CONTRIB-

 4    UTES DURING THE TAX YEAR NOT TO EXCEED $50.00, OR $100.00 FOR A

 5    HUSBAND AND WIFE WHO FILE A JOINT RETURN, TO AN ORGANIZATION

 6    EXEMPT FROM TAXATION UNDER SECTION 501(c)(3) OF THE INTERNAL REV-

 7    ENUE CODE.

 8         (2) A CONTRIBUTION TO AN ENTITY LISTED IN SECTION 260(1) OR

 9    261 SHALL NOT BE USED TO CALCULATE A CREDIT UNDER THIS SECTION.






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 1         (3) THE CREDIT ALLOWED UNDER THIS SECTION IS NOT REFUNDABLE

 2    AND SHALL NOT EXCEED THE TAX LIABILITY OF THE TAXPAYER FOR THE

 3    TAX YEAR.


















































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