With the direction from the Board of Directors and input from Chamber members serving on policy committees, a legislative agenda is set to strengthen Michigan’s business climate.
HB 4288: This legislation is expected to save businesses organized as s-corporations, partnerships, limited partnerships, limited liability partnerships and limited liability companies almost $200 million in taxes per year.
Business types listed above, commonly referred to as “passthrough” businesses, will be able to fully deduct their state and local taxes (SALT) from their federal income under changes made in HB 4288 thereby, significantly reducing their federal tax liability. Because the legislation shifts the tax away from an individual and to the business entity, taxpayers can get out from underneath the federal $10,000 cap on SALT deductions.
Retroactive Workers’ Compensation Coverage Mandate for COVID Claims. This legislation seeks to require workers’ compensation to cover all COVID-19 related medical claims for “essential workers” retroactive to March 10, 2020. This mandate would apply regardless of whether the worker could prove he or she contracted COVID-19 in the workplace.
SJR C (Irwin): This joint resolution would eliminate Michigan’s longstanding, fair, flat income tax and replace it with one with a graduated one. A flat rate income tax is when with one tax rate applying to all incomes. A graduated income tax rate, also called a progressive tax, is a tax structure that levies increasingly higher tax rates on higher-earning individuals or businesses. Essentially, under this kind of system: the more you make, the more you pay.
SB 20 (Zorn): The legislation would expand the allowable use of “Sinking Funds” to be used for the purchase of school busses. Sinking Funds are a special pots of resources a school district can request from taxpayers to use for very limited, capital improvements to real property. Sinking funds are funded by local property tax millages.
HB 4047 (Beson): Help For Struggling Businesses. This $3.5 billion appropriation bill includes several provisions aimed at providing much-needed and direct relief to Michigan businesses negatively impacted by the COVID-19 public health emergency. The bill also includes appropriations for vaccines and to return kids to in-person learning.
SB 2 (Sen. Wojno): Increase Unemployment Benefit Duration. This legislation would increase the number of weeks an unemployed worker is eligible for state unemployment insurance (UI) benefits from 20 to 26.
HB 4027 (Rep. Eisen): Liability for Businesses Choosing to Make Their Property Weapons Free. This legislation is aimed at requiring employers and other private property owners to lift their gun-free and weapons-free policies. The bill specifies that property owners that entirely or partially designate their property as a gun-free or weapon-free zone would be responsible for the safety of an individual who enters the gun-free or weapon-free zone and make property owners liable for damages that result from injuries.
Let your voice be heard
It is our goal to be your voice in the Michigan Legislature. Please let us know how we can advocate for issues that are important to your business.