Bill > SB0152

This bill amends Michigan's General Sales Tax Act to modify sales tax exemptions for aircraft and aviation equipment. The bill provides tax exemptions for sales of aircraft to domestic air carriers (commercial transportation companies) with a takeoff weight of at least 6,000 pounds used for transporting cargo, passengers, or both. It clarifies conditions under which aircraft parts and materials can be sold without sales tax, including provisions about temporary aircraft location in the state, such as for sale, prepurchase evaluation, customization, maintenance, or repair. The bill also adds definitions for key terms like "aircraft" (excluding unmanned aerial vehicles), "based in this state" (hangared or stored for specific periods), and "domestic air carrier". Additionally, the bill specifies that the changes will take effect 90 days after enactment and includes legislative intent to appropriate sufficient funds from the state general fund to the state school aid fund to compensate for any revenue losses resulting from these tax exemptions. The modifications aim to provide clearer guidelines and potentially support the aviation industry by reducing tax burdens on aircraft sales and related transactions.

Budget and Finance

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-SB-0152