HOUSE BILL No. 4833


     May 30, 2001, Introduced by Reps. Hale, Garza, Clark, Bogardus, Gieleghem, McConico, Waters, Hardman and Lemmons and referred to the
Committee on Tax Policy.


        A bill to amend 1975 PA 228, entitled

   "Single business tax act,"

   (MCL 208.1 to 208.145) by adding section 39d.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           SEC. 39D.  (1) FOR TAX YEARS THAT BEGIN AFTER DECEMBER 31,

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      2001, A TAXPAYER THAT IS A PUBLISHING COMPANY MAY CLAIM A CREDIT

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      UNDER THIS SECTION FOR LOW-COST DICTIONARIES IT SELLS TO PUBLIC

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      SCHOOLS AND PUBLIC SCHOOL ACADEMIES IN THIS STATE FOR USE BY

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      STUDENTS.

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           (2) THE CREDIT UNDER THIS SECTION SHALL BE EQUAL TO THE DIF-

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      FERENCE BETWEEN THE COST AT WHICH THE DICTIONARIES WOULD OTHER-

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      WISE HAVE SOLD AND THE COST PAID BY THE SCHOOLS.

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           (3) THE CREDIT UNDER THIS SECTION SHALL NOT EXCEED 50% OF

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      THE TAXPAYER'S TAX LIABILITY FOR THE TAX YEAR.




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           (4) AS USED IN THIS SECTION:

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           (A) "LOW-COST DICTIONARIES" MEANS DICTIONARIES SOLD AT LESS

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      THAN THE PRICE ORDINARILY CHARGED TO A SCHOOL FOR THOSE

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      DICTIONARIES.  THE PRICE ORDINARILY CHARGED SHOULD TAKE INTO CON-

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      SIDERATION ANY DISCOUNT REGULARLY OFFERED ON SUCH SALES.

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           (B) "PUBLIC SCHOOL ACADEMY" MEANS A PUBLIC SCHOOL ACADEMY

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      OPERATED UNDER THE REVISED SCHOOL CODE, 1976 PA 451, MCL 380.1 TO

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      380.1852.








































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