HOUSE BILL No. 5397


     November 1, 2001, Introduced by Reps. Meyer, Newell, Kooiman, Faunce and Stewart and referred to the Committee on Tax Policy.


        A bill to amend 1967 PA 281, entitled

   "Income tax act of 1967,"

   by amending section 30d (MCL 206.30d), as amended by 2000 PA 42.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           Sec. 30d.  (1) The amendatory act that added this section

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      shall be known as the  "child care act of 1997"  "ADDITIONAL

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      DEPENDENT CHILD DEDUCTION ACT".

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           (2) For the 1998 tax year and for tax years that begin in

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      1999, taxable income for purposes of this act equals taxable

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      income as determined under section 30 from which a taxpayer may

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      deduct the following amounts:

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           (a) An amount equal to $600.00 multiplied by the number of

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      exemptions claimed by the taxpayer under section 30(2) in the tax

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      year for dependents of the taxpayer who are children younger than

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      7 years of age on the last day of the tax year.


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           (b) An amount equal to $300.00 multiplied by the number of

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      exemptions claimed by the taxpayer under section 30(2) in the tax

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      year for dependents of the taxpayer who are children and who are

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      at least 7 years of age and younger than 13 years of age on the

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      last day of the tax year.

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           (3) For tax years that begin after 1999, taxable income for

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      purposes of this act equals taxable income as determined under

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      section 30 from which a taxpayer may deduct an amount equal to

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      $600.00 multiplied by the number of exemptions claimed by the

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      taxpayer under section 30(2) in the tax year for dependents of

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      the taxpayer who are children younger than 19 years of age on the

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      last day of the tax year.
































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