Bill > SB0153

This bill amends Michigan's Use Tax Act to modify exemptions related to aircraft and aviation equipment. The bill expands tax exemptions for domestic air carriers by removing previous restrictions on aircraft size and usage, now applying the exemption to any aircraft with a maximum certificated takeoff weight of at least 6,000 pounds used for transporting air cargo, passengers, or a combination of both. The bill also clarifies definitions related to aircraft, including defining "aircraft" as an aerial vehicle used in aviation (excluding unmanned aerial vehicles), and updates terms like "based in this state," "customization," and "registered in this state." Additionally, the bill removes some specific conditions for tax exemptions, such as detailed requirements about aircraft movement and registration, while maintaining core provisions that allow tax exemptions for certain aircraft-related sales and uses. The bill will take effect 90 days after enactment and is contingent on the passage of a companion Senate bill. The legislature intends to appropriate funds from the state general fund to the state school aid fund to compensate for any revenue losses resulting from these tax exemption changes.

Budget and Finance

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-SB-0153