The bills are HB 4361 and HB 4362.
The bills (or new tax) would take effect January 1, 2012.
House Bill 4361 (H-1) would amend the Income Tax Act, eliminating numerous credits, deductions and exemptions, as well as changing future tax rates. House Bill 4361 (H-1) also would create a new Corporate Income Tax, levied on businesses organized as traditional corporations under Federal law. House Bill 4362 (H-1) would amend the Michigan Business Tax (MBT) Act to allow certain taxpayers that wished to claim select credits allowed under current law to continue claiming those credits if they continued to file returns under the MBT. House Bill 4479 would amend the Multistate Tax Compact to remove the option for certain out-of-state taxpayers to apportion their tax base (under either the MBT or the proposed Corporate Income Tax) using an equally weighted three-factor formula instead of the 100%-sales factor formula specified in the MBT and the proposed Corporate Income Tax.
House Bill 4362 (H-1) would amend the MBT Act to provide for its eventual repeal and for certain taxpayers to continue to claim select credits. House Bill 4361 (H-1) contains complementary and duplicative provisions related to House Bill 4362 (H-1) and the option for certain taxpayers to continue to file a return under the MBT if they sought to claim certain credits.
Waiting for the Governor's Signature.