Bill > HB5008

This bill amends Section 623 of the Income Tax Act of 1967 in Michigan. The key provisions are: 1. It requires taxpayers to add any "specified outsourcing expenses" to their corporate income tax base. These are defined as eligible expenses (such as trade or business expenses, permit and license fees, and equipment installation costs) that are attributable to the elimination or relocation of a business that was previously located in Michigan. 2. It allows for the deduction of business losses incurred after December 31, 2011, which can be carried forward for up to 10 years to offset the allocated or apportioned corporate income tax base. The bill aims to address the tax implications of businesses outsourcing or relocating operations outside of Michigan by limiting the deductibility of related expenses and allowing for the carry-forward of business losses.