Bill > HB4504

This bill modifies the state historic preservation tax credit program, expanding and clarifying provisions for tax credits related to the rehabilitation of historic resources. Specifically, the bill increases the total available annual tax credits from $5 million to $100 million beginning January 1, 2026, and creates new categories for different sizes of historic resources (large, medium, and small nonresidential, and residential). The credit percentages range from 25% to 30% of qualified rehabilitation expenditures, depending on the type of historic resource. The bill establishes more detailed application and approval processes for the State Historic Preservation Office, including specific timelines for reviewing applications and issuing certificates. It also introduces more flexible provisions for credit assignments, carryforward, and potentially partial refunds for smaller projects. For projects with a certificate of completed rehabilitation issued after December 31, 2025, and with credit amounts less than $500,000, qualified taxpayers can elect to receive a refund of 90% of the excess credit. The bill maintains requirements for preserving historic resources for at least five years after rehabilitation and includes provisions for potential tax liability if the property is sold or the rehabilitation is not maintained as specified. Additionally, the bill requires an annual economic impact report to the legislature detailing the program's effects.

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https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4504