July 31, 2013, Introduced by Senator ANANICH and referred to the Committee on Finance.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
(MCL 206.1 to 206.713) by adding section 253.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 253. (1) For the 2013 tax year and each tax year after
2013, a qualified taxpayer who purchases a single-family home as
his or her principal residence through the good neighbor next door
sales program and claims that property as exempt from tax under
section 7cc of the general property tax act, 1893 PA 206, MCL
211.7cc, for the same tax year may claim a credit against the tax
imposed by this act equal to the amount paid for property taxes
collected under the general property tax act, 1893 PA 206, MCL
211.1 to 211.155, on that property during that tax year and each
tax year thereafter that the property is occupied as his or her
principal residence.
(2) If the credit allowed under this section for the tax year
exceeds the taxpayer's tax liability for the tax year, that portion
that exceeds the tax liability for the tax year shall not be
refunded.
(3) If the qualified taxpayer fails to occupy the single-
family home as his or her principal residence within 3 years after
the year in which the property was purchased and the credit was
initially claimed under this section, the total amount of the
credit claimed shall be added back to the tax liability of the
taxpayer in the tax year that the taxpayer fails to occupy the
property as his or her principal residence.
(4) As used in this section:
(a) "Good neighbor next door sales program" means the program
implemented by the United States department of housing and urban
development to encourage renewal of revitalization areas by
providing an opportunity for law enforcement officers,
firefighters, emergency medical technicians, and teachers to
purchase eligible homes in these communities at a significant
discount.
(b) "Principal residence" means that term as defined under
section 7dd of the general property tax act, 1893 PA 206, MCL
211.7dd.
(c) "Qualified taxpayer" means a taxpayer who is a law
enforcement officer, a teacher, a firefighter, or an emergency
medical technician who purchases a single-family home as his or her
principal residence through the good neighbor next door sales
program.