SENATE BILL NO. 396


   March 2, 1999, Introduced by Senators BULLARD, STEIL, GOSCHKA,
        HAMMERSTROM, DUNASKISS and JAYE and referred to the 
        Committee on Finance.



        A bill to amend 1933 PA 167, entitled

   "General sales tax act,"

   (MCL 205.51 to 205.78) by adding section 4s.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         SEC. 4S.  (1) A PERSON SUBJECT TO TAX UNDER THIS ACT MAY

 2    EXCLUDE FROM THE GROSS PROCEEDS USED FOR THE COMPUTATION OF THIS

 3    TAX THE SALE OF INVESTMENT COINS AND BULLION.

 4         (2) AS USED IN THIS SECTION:

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

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

 7    FORM, WITH A PURITY OF NOT LESS THAN 980 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




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                                   2

 1    GOVERNMENT OR A FOREIGN GOVERNMENT WITH A FAIR MARKET VALUE

 2    GREATER THAN THE FACE VALUE OF THE COINS.




















































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