Insider Intelligence

On Wednesday, Speaker Pro Tem Lee Chatfield (R-Levering) introduced the first piece of legislation for the new legislative term, which would lower the state’s income tax rate to zero.  Specifically, the bill would immediately reduce the income tax from 4.25% to 3.9% in 2018 and phase out 0.1% every year until the tax is fully […]

On Thursday, the Senate passed a package of bills repealing the Michigan Health Insurance Claims Assessment (HICA) tax.  HICA is a tax on health insurance claims paid by both individual policy holders and businesses who offer health care insurance to employees.  The tax was originally enacted to help pay the state’s portion of Medicaid, but […]

Yesterday the House passed a two-bill package repealing an annual auto insurance tax credit, which cost the state $80 million per-year.  The credit is available for catastrophic claims where the injured does not have insurance and was made available due to a mistake in legislation passed in 2012.  The elimination of the credit is part […]

This week, the Senate passed and the House concurred in a bill extending the sunset on the Health Insurance Claims Assessment (HICA) through 2020.  When the House passed their version of HB 5105 in December, it included a sunset extension through 2025.  However, the sole change the Senate made to the bill was to shorten […]

Late last month, Governor Rick Snyder signed two bills providing tax exemptions for data centers.  Specifically, they provide exemptions from the Use and Sales Taxes for items in a qualified data center, such as computers, servers, and routers, among others.  Currently, there are approximately forty data centers that would be eligible for the exemptions.  The […]

This week the House passed and the Senate concurred in a package of bills that would provide a fifteen year tax exemption for data centers in Michigan from the General Sales Tax Act and the Use Tax Act.  The impetus behind the legislation was to incentivize Switch to build a billion dollar data center in […]

On Tuesday, the House passed an extension to the sunset on the Health Insurance Claims Assessment (HICA), a tax levied on health and medical services claims paid by health insurers, health maintenance organizations, other categories of insurance carriers, and third party administrators.