Bill Text: MI HB4804 | 2011-2012 | 96th Legislature | Engrossed
Bill Title: Sales tax; collections; prepayment collection process; revise. Amends sec. 6 of 1933 PA 167 (MCL 205.56).
Spectrum: Bipartisan Bill
Status: (Passed) 2012-12-31 - Assigned Pa 458'12 With Immediate Effect 2012 Addenda [HB4804 Detail]
Download: Michigan-2011-HB4804-Engrossed.html
HB-4804, As Passed Senate, December 12, 2012
SENATE SUBSTITUTE FOR
HOUSE BILL NO. 4804
A bill to amend 1933 PA 167, entitled
"General sales tax act,"
by amending section 6 (MCL 205.56), as amended by 2012 PA 118.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 6. (1) Each taxpayer, unless otherwise provided by law or
as required pursuant to subsection (2), (3), (5), or (6), on or
before the twentieth day of each month shall make out a return for
the preceding month on a form prescribed by the department showing
the entire amount of all sales and gross proceeds of his or her
business, the allowable deductions, and the amount of tax for which
he or she is liable. The taxpayer shall also transmit the return,
together with a remittance for the amount of the tax, to the
department on or before the twentieth day of that month.
(2) Beginning January 1, 1999 through December 31, 2013, each
taxpayer that had a total tax liability after subtracting the tax
payments made to the secretary of state under this act or the use
tax act, 1937 PA 94, MCL 205.91 to 205.111, or after subtracting
the tax credits available under section 6a, in the immediately
preceding calendar year of $720,000.00 or more shall remit to the
department, by an electronic funds transfer method approved by the
department on or before the twentieth day of the month, an amount
equal to 50% of the taxpayer's liability under this act for the
same month in the immediately preceding calendar year, or 50% of
the actual liability for the month being reported, whichever is
less, plus a reconciliation payment equal to the difference between
the tax liability determined for the immediately preceding month
minus the amount of tax previously paid for that month.
Additionally, the seller shall remit to the department, by an
electronic funds transfer method approved by the department on or
before the last day of the month, an amount equal to 50% of the
taxpayer's liability under this act for the same month in the
immediately preceding calendar year, or 50% of the actual liability
for the month being reported, whichever is less.
(3) Beginning January 1, 2014, each taxpayer that had a total
tax liability after subtracting the tax payments made to the
secretary of state under this act or the use tax act, 1937 PA 94,
MCL 205.91 to 205.111, or after subtracting the tax credits
available under section 6a in the immediately preceding calendar
year of $720,000.00 or more shall remit to the department, by an
electronic funds transfer method approved by the department on or
before the twentieth day of the month, an amount equal to 75% of
the taxpayer's liability under this act in the immediately
preceding month or 75% of the taxpayer's liability for the same
month in the immediately preceding calendar year, whichever is
less, plus a reconciliation payment equal to the difference between
the tax liability determined for the immediately preceding month
minus the amount of tax previously paid for that month. Payment
remitted to the department by electronic funds transfer may include
as a single payment any amount due under section 6 of the use tax
act, 1937 PA 94, MCL 205.96.
(4) The tax imposed under this act shall accrue to this state
on the last day of the month in which the sale is incurred.
(5) The department, if necessary to insure payment of the tax
or to provide a more efficient administration, may require the
filing of returns and payment of the tax for other than monthly
periods.
(6) A taxpayer who is a materialperson may at the option of
the taxpayer include the amount of all taxable sales and gross
proceeds from materials furnished to an owner, contractor,
subcontractor, repairperson, or consumer on a credit sale basis for
the purpose of making an improvement to real property in his or her
return in the first quarterly return due following the date in
which the materialperson made the credit sale to the owner,
contractor, subcontractor, repairperson, or consumer.
Notwithstanding subsections (1) through (4), a materialperson may
at the option of the taxpayer file quarterly returns for a credit
sale only as determined by the department. As used in this
subsection, "credit sale" means an extension of credit for the sale
of taxable goods by a seller other than a credit card sale; and
"materialperson" means a person who provides materials for the
improvement of real property, who has registered with and has
demonstrated to the department that he or she is primarily engaged
in the sale of lumber and building material related products,
precast concrete products, or conduit or fitting products used in
the collection, conveyance, or distribution of water or sewage to
owners, contractors, subcontractors, repairpersons, or consumers,
and who is authorized to file a construction lien upon real
property and improvements under the construction lien act, 1980 PA
497, MCL 570.1101 to 570.1305.
(7) If a due date falls on a Saturday, Sunday, state holiday,
or legal banking holiday, the taxes are due on the next succeeding
business day.
