Bill > HB4312

This bill amends the Michigan General Sales Tax Act to modify how sales tax revenue is distributed, specifically adding a new provision that beginning October 1, 2025, 8.62% of the tax collections at the 4% rate will be deposited into the Revenue Sharing Trust Fund and distributed to cities, villages, townships, and counties. The bill maintains existing distribution requirements for sales tax, including 15% going to local governments under the Glenn Steil state revenue sharing act, 60% being deposited in the state school aid fund, and specific allocations for transportation, aviation fuel, and computer software funds. The bill also ensures that the state general fund balance can only be disbursed through legislative appropriations. Additionally, the bill is contingent upon the passage of a related bill (Senate Bill or House Bill 4311), meaning it will only take effect if that companion legislation is also enacted. The changes aim to provide a more structured and predictable method of distributing sales tax revenue across various state and local government funds and services.

Government Affairs

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4312