Senate Panel Reinstates Some Tax Credits

The Michigan Senate Finance Committee unanimously approved a four-bill package to reinstate some of the tax credits that were eliminated in 2011 when Governor Snyder’s (R) tax reform was enacted. The bills would:

  • Allow a taxpayer to claim an income tax credit of up to 50 percent of charitable contributions he or she made to public art or an art institution; a public library; a public broadcast station; a college, university, or institution of higher education located in Michigan; and the State Museum (SB 461);
  • Allow an income tax credit for donations of cash and food to a homeless shelter, food bank, or food kitchen and for contributions to a community foundation meeting certain criteria  (SB 462);
  • Allow a tax credit equal to the taxpayer’s qualified adoption expenses in excess of the amount of credit for qualified adoption expenses the taxpayer claimed under state law, or $1,200 per child, whichever was less (SB 463); and
  • Allow a credit in the amount equal to 50 percent of the fair market value of an automobile donated by the taxpayer to a qualified organization that intended to provide it to a qualified recipient (SB 464).