REVISE INCOME TAX RATE REDUCTION

House Bill 4598

Sponsor:  Rep. Mike Pumford

Committee:  Tax Policy

Complete to 8-26-03

A SUMMARY OF HOUSE BILL 4598 AS INTRODUCED 4-30-03

         The bill would amend the Income Tax by revising the scheduled reduction in the income tax rate.  Under the act, the rate is set at 4.0 percent for 2003 and at 3.9 percent for each tax year beginning after January 1, 2004. 

         The bill would set the income tax rate at: (1) 4.0 percent for tax years beginning on or after January 1, 2003 and prior to January 1, 2006, (2) 3.9 percent for tax years beginning on or after January 1, 2006 and prior to January 1, 2008, (3) 3.85 percent for tax years beginning on or after January 1, 2008 and prior to January 1, 2010, and (4) 3.8 percent for tax years beginning on or after January 1, 2010.

         MCL 206.51

Analyst:  M. Wolf

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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.