HOUSE BILL No. 6027

 

June 17, 2004, Introduced by Reps. Smith, Huizenga, Accavitti, Condino, Bieda, Hunter, Tobocman, Cheeks and McConico 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 37h.                               

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 37h.  (1) For tax years that begin after December 31,                  

                                                                                

2   2004 and before January 1, 2007, the credit allowed under section           

                                                                                

3   37g for a taxpayer that is a motion picture production company              

                                                                                

4   shall equal either of the following:                                        

                                                                                

5       (a) If the total production costs for a motion picture are                  

                                                                                

6   $250,000.00 or more but less than $1,000,000.00, 10% of the                 

                                                                                

7   payroll for the tax year for residents of this state employed by            

                                                                                

8   the taxpayer in connection with the production of that motion               

                                                                                

9   picture.                                                                    

                                                                                

10      (b) If the total production costs for a motion picture are                  

                                                                                

11  $1,000,000.00 or more, 25% of the payroll for the tax year for              

                                                                                


                                                                                

1   residents of this state employed by the taxpayer in connection              

                                                                                

2   with the production of that motion picture.                                 

                                                                                

3       (2) As used in this section:                                                

                                                                                

4       (a) "Motion picture" and "motion picture production company"                

                                                                                

5   mean those terms as defined in section 37g.                                 

                                                                                

6       (b) "Payroll" means the total salaries and wages before                     

                                                                                

7   deducting any personal or dependency exemptions for employees               

                                                                                

8   whose salary is less than $1,000,000.00 for the tax year.                   

                                                                                

9       Enacting section 1.  This amendatory act does not take                      

                                                                                

10  effect unless House Bill No. 5958 of the 92nd Legislature is                

                                                                                

11  enacted into law.