Tax Policy & Finance
Employers should be aware that the new federal tax law includes an employer credit for paid family leave. The provision was developed as an alternative to state and federal paid leave mandates. The goal is to incentivize employers to offer paid family leave. Employers that currently provide paid family leave and those considering adding it should take a close look at this new credit and address their options with a tax professional.
The new federal Tax Cuts and Jobs Act has generated a lot questions for tax professionals in Michigan. To help our members navigate the new law, the Michigan Chamber has joined forces with the Michigan Association of Certified Public Accountants (MICPA) to devise a user-friendly toolkit.
House Bill 5091 changes the annual date by which a person must file an income tax withholding statement and an annual reconciliation return with the Michigan Department of Treasury from February 28 to January 31. The bill also requires returns or reports made by employers with 250 employees or more to be made electronically.
Cybersecurity is a growing issue for businesses and individuals throughout the world. Over the last few years, we have seen unprecedented breaches of computer systems releasing millions of records containing sensitive personal information. There is no denying that this developing issue deserves attention. However, legislation recently introduced by State Senator Darwin Booher (R-Evart) to combat this problem here in Michigan goes too far too fast.
Good News! Michigan businesses are expected to see an unemployment insurance (UI) tax reduction in 2018, thanks to comprehensive reforms pushed by the Michigan Chamber in 2011. The state estimates unemployment insurance tax rates will decrease by an average of 4.5 percent in 2018. Further tax relief is expected in July of 2020.
Discussions about making simple technical changes to the State’s income tax to conform with recent federal changes quickly turned into action by state some state lawmakers to provide Michigan taxpayers with significant tax cuts.
Below is a list of bills recently introduced to provide Michigan taxpayers some personal income tax relief:
SB 748 (Brandenburg) – Increases personal exemption to $5,000
The primary responsibility of the Department of Treasury is to promote and enforce tax compliance. Taxes owed should be paid -- nothing more, nothing less. Unfortunately, there are situations where taxpayers who overpay their taxes are not able to get a refund on the overage. That is unacceptable and the Michigan Chamber is fighting back!
With unanimous support in the State Senate and more than the 2/3 support needed in the State House, the State Legislature last week voted to override the Governor’s veto of two bills (SB 94 and SB 95) that speed up a phase in of a previously passed law that lowers the sales tax liability of consumers who trade in th
Chamber-backed legislation to provide fairer deadlines for filing Personal Property Tax exemption forms was sent to the Governor last week. This is great news for filers who currently have no recourse if they fail to meet the February 20th deadline for submitting eligible manufacturing personal property (EMPP) tax exemption claims. The Governor is expected to sign the legislation.