June 12, 2018, Introduced by Senators HERTEL, SCHMIDT and KNEZEK and referred to the Committee on Economic Development and International Investment.
A bill to amend 1998 PA 58, entitled
"Michigan liquor control code of 1998,"
by amending sections 1201, 1203, and 1207 (MCL 436.2201, 436.2203,
and 436.2207).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1201. (1) In addition to any and all taxes imposed by
law, there is imposed and levied upon and collected a specific tax
equal to 4% of the retail selling price of spirits. The tax shall
be collected by the commission at the time of sale by the
commission. In the case of sales to licensees, the tax shall be
computed on the retail selling price established by the commission
without allowance of discount.
(2) Upon collection, the commission shall deposit the entire
proceeds in the state treasury, subject to section 1207(7), to the
credit of the general fund.
(3) If section 1201 is repealed, every licensee, who has on
hand any spirits on the effective date of the repeal, shall file a
complete inventory of those spirits with the commission within 20
days after the repeal. The commission shall credit to such a
licensee an amount equal to 4% of the retail selling price of those
spirits on future purchases of spirits from the commission.
Sec. 1203. (1) In addition to any and all taxes imposed by
law, there is imposed, levied upon, and collected a specific tax
equal to 4% retail selling price of spirits. The tax shall be
collected by the commission at the time of sale by the commission.
In the case of sales to licensees, the tax shall be computed on the
retail selling price established by the commission without
allowance of discount.
(2) Upon collection, the commission shall deposit the entire
proceeds in the state treasury, subject to section 1207(7), to the
credit of the state school aid fund established by sections 8, 10,
and 11 of article IX of the state constitution.
Sec. 1207. (1) The legislature finds and declares that there
exists in this state a continuing need for programs to promote
tourism and convention business in order to assist in the
prevention of unemployment and the alleviation of the conditions of
unemployment, to preserve existing jobs, and to create new jobs to
meet the employment demands of population growth. In order to
achieve these purposes, it is necessary to assist and encourage
local units of government to acquire, construct, improve, enlarge,
renew, replace, repair, furnish, and equip convention facilities
and the real property on which they are located.
(2) In addition to any other taxes imposed by law, there is
imposed, levied upon, and collected a specific tax equal to 4% of
the retail selling price of spirits for consumption on the
premises. The tax shall be collected by the commission at the time
of sale by the commission. In the case of sales to licensees, the
tax shall be computed on the retail selling price established by
the commission without allowance of discount.
(3) In addition to any other taxes imposed by law, there is
imposed, levied upon, and collected a specific tax equal to 4% of
the retail selling price of spirits for consumption off the
premises. The tax shall be collected by the commission at the time
of the sale by the commission.
(4) Upon collection, the commission shall deposit the proceeds
of the taxes imposed pursuant to subsections (2) and (3), subject
to subsection (7), in the state treasury to the credit of the
convention facility development fund created by the state
convention facility development act, 1985 PA 106, MCL 207.621 to
207.640, for distribution and use only in the manner and for the
purposes stated in that act.
(5) The tax imposed by this act shall not be levied during any
period in which the tax imposed pursuant to the state convention
facility development act, 1985 PA 106, MCL 207.621 to 207.640, is
not levied.
(6) This section shall not be construed as making
appropriations.
(7) The commission shall deposit an amount equal to 50% of the
total anticipated incremental increase in the collections of the
tax imposed under sections 1201, 1203, and this section
attributable to the preparation for and hosting of large special
events and related activities, as determined by the treasurer
pursuant to section 6(1)(a) of the large special events fund act,
each state fiscal year into the large special events fund created
in section 4 of the large special events fund act.