Bill Text: MI HB5081 | 2017-2018 | 99th Legislature | Introduced
Bill Title: Individual income tax; exemptions; additional exemption for certain parents; provide for. Amends sec. 30 of 1967 PA 281 (MCL 206.30).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-10-11 - Bill Electronically Reproduced 10/10/2017 [HB5081 Detail]
Download: Michigan-2017-HB5081-Introduced.html
HOUSE BILL No. 5081
October 10, 2017, Introduced by Rep. Lucido and referred to the Committee on Tax Policy.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
by amending section 30 (MCL 206.30), as amended by 2015 PA 161.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 30. (1) "Taxable income" means, for a person other than a
corporation, estate, or trust, adjusted gross income as defined in
the internal revenue code subject to the following adjustments
under this section:
(a) Add gross interest income and dividends derived from
obligations or securities of states other than Michigan, in the
same amount that has been excluded from adjusted gross income less
related expenses not deducted in computing adjusted gross income
because of section 265(a)(1) of the internal revenue code.
(b) Add taxes on or measured by income to the extent the taxes
have been deducted in arriving at adjusted gross income.
(c) Add losses on the sale or exchange of obligations of the
United States government, the income of which this state is
prohibited from subjecting to a net income tax, to the extent that
the loss has been deducted in arriving at adjusted gross income.
(d) Deduct, to the extent included in adjusted gross income,
income derived from obligations, or the sale or exchange of
obligations, of the United States government that this state is
prohibited by law from subjecting to a net income tax, reduced by
any interest on indebtedness incurred in carrying the obligations
and by any expenses incurred in the production of that income to
the extent that the expenses, including amortizable bond premiums,
were deducted in arriving at adjusted gross income.
(e) Deduct, to the extent included in adjusted gross income,
the following:
(i) Compensation, including retirement or pension benefits,
received
for services in the armed forces Armed Forces of the
United States.
(ii) Retirement or pension benefits under the railroad
retirement act of 1974, 45 USC 231 to 231v.
(iii) Beginning January 1, 2012, retirement or pension
benefits received for services in the Michigan National Guard.
(f) Deduct the following to the extent included in adjusted
gross income subject to the limitations and restrictions set forth
in subsection (9):
(i) Retirement or pension benefits received from a federal
public retirement system or from a public retirement system of or
created by this state or a political subdivision of this state.
(ii) Retirement or pension benefits received from a public
retirement system of or created by another state or any of its
political subdivisions if the income tax laws of the other state
permit a similar deduction or exemption or a reciprocal deduction
or exemption of a retirement or pension benefit received from a
public retirement system of or created by this state or any of the
political subdivisions of this state.
(iii) Social security Security benefits
as defined in section
86 of the internal revenue code.
(iv) Beginning on and after January 1, 2007, retirement or
pension benefits not deductible under subparagraph (i) or
subdivision (e) from any other retirement or pension system or
benefits from a retirement annuity policy in which payments are
made for life to a senior citizen, to a maximum of $42,240.00 for a
single return and $84,480.00 for a joint return. The maximum
amounts allowed under this subparagraph shall be reduced by the
amount of the deduction for retirement or pension benefits claimed
under subparagraph (i) or subdivision (e) and by the amount of a
deduction claimed under subdivision (p). For the 2008 tax year and
each tax year after 2008, the maximum amounts allowed under this
subparagraph shall be adjusted by the percentage increase in the
United
States consumer price index Consumer
Price Index for the
immediately preceding calendar year. The department shall annualize
the amounts provided in this subparagraph as necessary. As used in
this subparagraph, "senior citizen" means that term as defined in
section 514.
(v) The amount determined to be the section 22 amount eligible
for the elderly and the permanently and totally disabled credit
provided in section 22 of the internal revenue code.
(g) Adjustments resulting from the application of section 271.
(h) Adjustments with respect to estate and trust income as
provided in section 36.
(i) Adjustments resulting from the allocation and
apportionment provisions of chapter 3.
(j) Deduct the following payments made by the taxpayer in the
tax year:
(i) For the 2010 tax year and each tax year after 2010, the
amount of a charitable contribution made to the advance tuition
payment fund created under section 9 of the Michigan education
trust act, 1986 PA 316, MCL 390.1429.
(ii) The amount of payment made under an advance tuition
payment contract as provided in the Michigan education trust act,
1986 PA 316, MCL 390.1421 to 390.1442.
(iii) The amount of payment made under a contract with a
private sector investment manager that meets all of the following
criteria:
(A) The contract is certified and approved by the board of
directors of the Michigan education trust to provide equivalent
benefits and rights to purchasers and beneficiaries as an advance
tuition payment contract as described in subparagraph (ii).
(B) The contract applies only for a state institution of
higher education as defined in the Michigan education trust act,
1986 PA 316, MCL 390.1421 to 390.1442, or a community or junior
college in Michigan.
(C) The contract provides for enrollment by the contract's
qualified beneficiary in not less than 4 years after the date on
which the contract is entered into.
(D) The contract is entered into after either of the
following:
(I) The purchaser has had his or her offer to enter into an
advance tuition payment contract rejected by the board of directors
of the Michigan education trust, if the board determines that the
trust cannot accept an unlimited number of enrollees upon an
actuarially sound basis.
(II) The board of directors of the Michigan education trust
determines that the trust can accept an unlimited number of
enrollees upon an actuarially sound basis.
(k) If an advance tuition payment contract under the Michigan
education trust act, 1986 PA 316, MCL 390.1421 to 390.1442, or
another contract for which the payment was deductible under
subdivision (j) is terminated and the qualified beneficiary under
that contract does not attend a university, college, junior or
community college, or other institution of higher education, add
the amount of a refund received by the taxpayer as a result of that
termination or the amount of the deduction taken under subdivision
(j) for payment made under that contract, whichever is less.
(l) Deduct from the taxable income of a purchaser the amount
included as income to the purchaser under the internal revenue code
after the advance tuition payment contract entered into under the
Michigan education trust act, 1986 PA 316, MCL 390.1421 to
390.1442, is terminated because the qualified beneficiary attends
an institution of postsecondary education other than either a state
institution of higher education or an institution of postsecondary
education located outside this state with which a state institution
of higher education has reciprocity.
(m) Add, to the extent deducted in determining adjusted gross
income, the net operating loss deduction under section 172 of the
internal revenue code.
(n) Deduct a net operating loss deduction for the taxable year
as determined under section 172 of the internal revenue code
subject to the modifications under section 172(b)(2) of the
internal revenue code and subject to the allocation and
apportionment provisions of chapter 3 of this part for the taxable
year in which the loss was incurred.
(o) Deduct, to the extent included in adjusted gross income,
benefits from a discriminatory self-insurance medical expense
reimbursement plan.
(p) Beginning on and after January 1, 2007, subject to any
limitation provided in this subdivision, a taxpayer who is a senior
citizen may deduct to the extent included in adjusted gross income,
interest, dividends, and capital gains received in the tax year not
to exceed $9,420.00 for a single return and $18,840.00 for a joint
return. The maximum amounts allowed under this subdivision shall be
reduced by the amount of a deduction claimed for retirement or
pension benefits under subdivision (e) or a deduction claimed under
subdivision (f)(i), (ii), (iv), or (v). For the 2008 tax year and
each tax year after 2008, the maximum amounts allowed under this
subdivision shall be adjusted by the percentage increase in the
United
States consumer price index Consumer
Price Index for the
immediately preceding calendar year. The department shall annualize
the amounts provided in this subdivision as necessary. Beginning
January
1, 2012, the deduction under this subsection subdivision is
not available to a senior citizen born after 1945. As used in this
subdivision, "senior citizen" means that term as defined in section
514.
(q) Deduct, to the extent included in adjusted gross income,
all of the following:
(i) The amount of a refund received in the tax year based on
taxes paid under this part.
(ii) The amount of a refund received in the tax year based on
taxes paid under the city income tax act, 1964 PA 284, MCL 141.501
to 141.787.
(iii) The amount of a credit received in the tax year based on
a claim filed under sections 520 and 522 to the extent that the
taxes used to calculate the credit were not used to reduce adjusted
gross income for a prior year.
(r) Add the amount paid by the state on behalf of the taxpayer
in the tax year to repay the outstanding principal on a loan taken
on which the taxpayer defaulted that was to fund an advance tuition
payment contract entered into under the Michigan education trust
act, 1986 PA 316, MCL 390.1421 to 390.1442, if the cost of the
advance tuition payment contract was deducted under subdivision (j)
and was financed with a Michigan education trust secured loan.
(s) Deduct, to the extent included in adjusted gross income,
any amount, and any interest earned on that amount, received in the
tax year by a taxpayer who is a Holocaust victim as a result of a
settlement of claims against any entity or individual for any
recovered asset pursuant to the German act regulating unresolved
property claims, also known as Gesetz zur Regelung offener
Vermogensfragen, as a result of the settlement of the action
entitled
In re: Holocaust victim assets litigation, In re:
Holocaust victim assets litigation, CV-96-4849, CV-96-5161, and CV-
97-0461 (E.D. NY), or as a result of any similar action if the
income and interest are not commingled in any way with and are kept
separate from all other funds and assets of the taxpayer. As used
in this subdivision:
(i) "Holocaust victim" means a person, or the heir or
beneficiary of that person, who was persecuted by Nazi Germany or
any Axis regime during any period from 1933 to 1945.
(ii) "Recovered asset" means any asset of any type and any
interest earned on that asset including, but not limited to, bank
deposits, insurance proceeds, or artwork owned by a Holocaust
victim during the period from 1920 to 1945, withheld from that
Holocaust victim from and after 1945, and not recovered, returned,
or otherwise compensated to the Holocaust victim until after 1993.
(t) Deduct, to the extent not deducted in determining adjusted
gross income, both of the following:
(i) Contributions made by the taxpayer in the tax year less
qualified withdrawals made in the tax year from education savings
accounts, calculated on a per education savings account basis,
pursuant to the Michigan education savings program act, 2000 PA
161, MCL 390.1471 to 390.1486, not to exceed a total deduction of
$5,000.00 for a single return or $10,000.00 for a joint return per
tax year. The amount calculated under this subparagraph for each
education savings account shall not be less than zero.
(ii) The amount under section 30f.
(u) Add, to the extent not included in adjusted gross income,
the amount of money withdrawn by the taxpayer in the tax year from
education savings accounts, not to exceed the total amount deducted
under subdivision (t) in the tax year and all previous tax years,
if the withdrawal was not a qualified withdrawal as provided in the
Michigan education savings program act, 2000 PA 161, MCL 390.1471
to 390.1486. This subdivision does not apply to withdrawals that
are less than the sum of all contributions made to an education
savings account in all previous tax years for which no deduction
was claimed under subdivision (t), less any contributions for which
no deduction was claimed under subdivision (t) that were withdrawn
in all previous tax years.
(v) A taxpayer who is a resident tribal member may deduct, to
the extent included in adjusted gross income, all nonbusiness
income earned or received in the tax year and during the period in
which an agreement entered into between the taxpayer's tribe and
this state pursuant to section 30c of 1941 PA 122, MCL 205.30c, is
in full force and effect. As used in this subdivision:
(i) "Business income" means business income as defined in
section 4 and apportioned under chapter 3.
(ii) "Nonbusiness income" means nonbusiness income as defined
in section 14 and, to the extent not included in business income,
all of the following:
(A) All income derived from wages whether the wages are earned
within the agreement area or outside of the agreement area.
(B) All interest and passive dividends.
(C) All rents and royalties derived from real property located
within the agreement area.
(D) All rents and royalties derived from tangible personal
property, to the extent the personal property is utilized within
the agreement area.
(E) Capital gains from the sale or exchange of real property
located within the agreement area.
(F) Capital gains from the sale or exchange of tangible
personal property located within the agreement area at the time of
sale.
(G) Capital gains from the sale or exchange of intangible
personal property.
(H) All pension income and benefits including, but not limited
to, distributions from a 401(k) plan, individual retirement
accounts under section 408 of the internal revenue code, or a
defined contribution plan, or payments from a defined benefit plan.
(I) All per capita payments by the tribe to resident tribal
members, without regard to the source of payment.
(J) All gaming winnings.
(iii) "Resident tribal member" means an individual who meets
all of the following criteria:
(A) Is an enrolled member of a federally recognized tribe.
(B) The individual's tribe has an agreement with this state
pursuant to section 30c of 1941 PA 122, MCL 205.30c, that is in
full force and effect.
(C) The individual's principal place of residence is located
within the agreement area as designated in the agreement under sub-
subparagraph (B).
(w) For tax years beginning after December 31, 2011, eliminate
all of the following:
(i) Income from producing oil and gas to the extent included
in adjusted gross income.
(ii) Expenses of producing oil and gas to the extent deducted
in arriving at adjusted gross income.
(x) For tax years that begin after December 31, 2015, deduct,
to the extent not deducted in determining adjusted gross income,
both
all of the following:
(i) Contributions made by the taxpayer in the tax year less
qualified withdrawals made in the tax year from an ABLE savings
account,
pursuant to the Michigan ABLE savings program act, 2015 PA
160, MCL 206.981 to 206.997, not to exceed a total deduction of
$5,000.00 for a single return or $10,000.00 for a joint return per
tax year. The amount calculated under this subparagraph for an ABLE
savings account shall not be less than zero.
(ii) For tax years that begin after December 31,
2015, deduct,
to
the extent not deducted in determining adjusted gross income,
interest
Interest earned in the tax year on the contributions to
the taxpayer's ABLE savings account if the contributions were
deductible under subparagraph (i).
(iii) For tax years that begin after December 31,
2015,
deduct,
to the extent included in adjusted gross income,
distributions
Distributions that are qualified withdrawals from an
ABLE savings account to the designated beneficiary of that ABLE
savings account.
(y) Add, to the extent not included in adjusted gross income,
the amount of money withdrawn by the taxpayer in the tax year from
an ABLE savings account, not to exceed the total amount deducted
under subdivision (x) in the tax year and all previous tax years,
if the withdrawal was not a qualified withdrawal as provided in the
Michigan
ABLE savings program act,
2015 PA 160, MCL 206.981 to
206.997. This subdivision does not apply to withdrawals that are
less than the sum of all contributions made to an ABLE savings
account in all previous tax years for which no deduction was
claimed under subdivision (x), less any contributions for which no
deduction was claimed under subdivision (x) that were withdrawn in
all previous tax years.
(2) Except as otherwise provided in subsection (7), a personal
exemption of $3,700.00 multiplied by the number of personal or
dependency exemptions allowable on the taxpayer's federal income
tax return pursuant to the internal revenue code shall be
subtracted in the calculation that determines taxable income.
(3) Except as otherwise provided in subsection (7), a single
additional exemption determined as follows shall be subtracted in
the calculation that determines taxable income in each of the
following circumstances:
(a) $1,800.00 for each taxpayer and every dependent of the
taxpayer who is a deaf person as defined in section 2 of the deaf
persons' interpreters act, 1982 PA 204, MCL 393.502; a paraplegic,
a quadriplegic, or a hemiplegic; a person who is blind as defined
in section 504; or a person who is totally and permanently disabled
as defined in section 522. When a dependent of a taxpayer files an
annual return under this part, the taxpayer or dependent of the
taxpayer, but not both, may claim the additional exemption allowed
under this subdivision. As used in this subdivision, "dependent"
means that term as defined in section 30e.
(b) For tax years beginning after 2007, $250.00 for each
taxpayer and every dependent of the taxpayer who is a qualified
disabled veteran. When a dependent of a taxpayer files an annual
return under this part, the taxpayer or dependent of the taxpayer,
but not both, may claim the additional exemption allowed under this
subdivision. As used in this subdivision:
(i) "Qualified disabled veteran" means a veteran with a
service-connected disability.
(ii) "Service-connected disability" means a disability
incurred or aggravated in the line of duty in the active military,
naval, or air service as described in 38 USC 101(16).
(iii) "Veteran" means a person who served in the active
military, naval, marine, coast guard, or air service and who was
discharged or released from his or her service with an honorable or
general discharge.
(4) An individual with respect to whom a deduction under
section 151 of the internal revenue code is allowable to another
federal taxpayer during the tax year is not considered to have an
allowable federal exemption for purposes of subsection (2), but may
subtract $1,500.00 in the calculation that determines taxable
income for a tax year.
(5) A nonresident or a part-year resident is allowed that
proportion of an exemption or deduction allowed under subsection
(2), (3), or (4) that the taxpayer's portion of adjusted gross
income from Michigan sources bears to the taxpayer's total adjusted
gross income.
(6) In calculating taxable income, a taxpayer shall not
subtract from adjusted gross income the amount of prizes won by the
taxpayer under the McCauley-Traxler-Law-Bowman-McNeely lottery act,
1972 PA 239, MCL 432.1 to 432.47.
(7) For each tax year beginning on and after January 1, 2013,
the personal exemption allowed under subsection (2) shall be
adjusted by multiplying the exemption for the tax year beginning in
2012 by a fraction, the numerator of which is the United States
consumer
price index Consumer Price
Index for the state fiscal year
ending in the tax year prior to the tax year for which the
adjustment is being made and the denominator of which is the United
States
consumer price index Consumer
Price Index for the 2010-2011
state fiscal year. The resultant product shall be rounded to the
nearest $100.00 increment. As used in this section, "United States
consumer
price index" Consumer
Price Index" means the United
States
consumer
price index Consumer Price
Index for all urban consumers
as defined and reported by the United States Department of Labor,
Bureau of Labor Statistics. For each tax year, the exemptions
allowed under subsection (3) shall be adjusted by multiplying the
exemption amount under subsection (3) for the tax year by a
fraction,
the numerator of which is the United States consumer
price
index Consumer Price Index for the state fiscal year ending
the tax year prior to the tax year for which the adjustment is
being made and the denominator of which is the United States
consumer
price index Consumer Price
Index for the 1998-1999 state
fiscal year. The resultant product shall be rounded to the nearest
$100.00 increment.
(8)
As used in subsection (1)(f), this
section, "retirement or
pension benefits" means distributions from all of the following:
(a) Except as provided in subdivision (d), qualified pension
trusts and annuity plans that qualify under section 401(a) of the
internal revenue code, including all of the following:
(i) Plans for self-employed persons, commonly known as Keogh
or HR10 plans.
(ii) Individual retirement accounts that qualify under section
408 of the internal revenue code if the distributions are not made
until the participant has reached 59-1/2 years of age, except in
the case of death, disability, or distributions described by
section 72(t)(2)(A)(iv) of the internal revenue code.
(iii) Employee annuities or tax-sheltered annuities purchased
under section 403(b) of the internal revenue code by organizations
exempt under section 501(c)(3) of the internal revenue code, or by
public school systems.
(iv) Distributions from a 401(k) plan attributable to employee
contributions mandated by the plan or attributable to employer
contributions.
(b) The following retirement and pension plans not qualified
under the internal revenue code:
(i) Plans of the United States, state governments other than
this state, and political subdivisions, agencies, or
instrumentalities of this state.
(ii) Plans maintained by a church or a convention or
association of churches.
(iii) All other unqualified pension plans that prescribe
eligibility for retirement and predetermine contributions and
benefits if the distributions are made from a pension trust.
(c) Retirement or pension benefits received by a surviving
spouse if those benefits qualified for a deduction prior to the
decedent's death. Benefits received by a surviving child are not
deductible.
(d) Retirement and pension benefits do not include:
(i) Amounts received from a plan that allows the employee to
set the amount of compensation to be deferred and does not
prescribe retirement age or years of service. These plans include,
but are not limited to, all of the following:
(A) Deferred compensation plans under section 457 of the
internal revenue code.
(B) Distributions from plans under section 401(k) of the
internal revenue code other than plans described in subdivision
(a)(iv).
(C) Distributions from plans under section 403(b) of the
internal revenue code other than plans described in subdivision
(a)(iii).
(ii) Premature distributions paid on separation, withdrawal,
or discontinuance of a plan prior to the earliest date the
recipient could have retired under the provisions of the plan.
(iii) Payments received as an incentive to retire early unless
the distributions are from a pension trust.
(9) In determining taxable income under this section, the
following limitations and restrictions apply:
(a) For a person born before 1946, this subsection provides no
additional restrictions or limitations under subsection (1)(f).
(b) Except as otherwise provided in subdivision (c), for a
person born in 1946 through 1952, the sum of the deductions under
subsection (1)(f)(i), (ii), and (iv) is limited to $20,000.00 for a
single return and $40,000.00 for a joint return. After that person
reaches the age of 67, the deductions under subsection (1)(f)(i),
(ii), and (iv) do not apply and that person is eligible for a
deduction of $20,000.00 for a single return and $40,000.00 for a
joint return, which deduction is available against all types of
income and is not restricted to income from retirement or pension
benefits. A person who takes the deduction under subsection (1)(e)
is not eligible for the unrestricted deduction of $20,000.00 for a
single return and $40,000.00 for a joint return under this
subdivision.
(c) Beginning January 1, 2013, for a person born in 1946
through 1952 who receives retirement or pension benefits from
employment with a governmental agency that was not covered by the
federal social security act, chapter 531, 49 Stat 620, the sum of
the deductions under subsection (1)(f)(i), (ii), and (iv) is
limited to $35,000.00 for a single return and, except as otherwise
provided under this subdivision, $55,000.00 for a joint return. If
both
the husband and wife spouses
filing a joint return receive
retirement or pension benefits from employment with a governmental
agency that was not covered by the federal social security act,
chapter 531, 49 Stat 620, the sum of the deductions under
subsection (1)(f)(i), (ii), and (iv) is limited to $70,000.00 for a
joint return. After that person reaches the age of 67, the
deductions under subsection (1)(f)(i), (ii), and (iv) do not apply
and that person is eligible for a deduction of $35,000.00 for a
single return and $55,000.00 for a joint return, or $70,000.00 for
a joint return if applicable, which deduction is available against
all types of income and is not restricted to income from retirement
or pension benefits. A person who takes the deduction under
subsection (1)(e) is not eligible for the unrestricted deduction of
$35,000.00 for a single return and $55,000.00 for a joint return,
or $70,000.00 for a joint return if applicable, under this
subdivision.
(d) For a person born after 1952 who has reached the age of 62
through 66 years of age and who receives retirement or pension
benefits from employment with a governmental agency that was not
covered by the federal social security act, chapter 532, 49 Stat
620, the sum of the deductions under subsection (1)(f)(i), (ii),
and (iv) is limited to $15,000.00 for a single return and, except
as otherwise provided under this subdivision, $15,000.00 for a
joint
return. If both the husband and wife spouses filing a joint
return receive retirement or pension benefits from employment with
a governmental agency that was not covered by the federal social
security act, chapter 532, 49 Stat 620, the sum of the deductions
under subsection (1)(f)(i), (ii), and (iv) is limited to $30,000.00
for a joint return.
(e) Except as otherwise provided under subdivision (d), for a
person born after 1952, the deduction under subsection (1)(f)(i),
(ii), or (iv) does not apply. When that person reaches the age of
67, that person is eligible for a deduction of $20,000.00 for a
single return and $40,000.00 for a joint return, which deduction is
available against all types of income and is not restricted to
income from retirement or pension benefits. If a person takes the
deduction of $20,000.00 for a single return and $40,000.00 for a
joint return, that person shall not take the deduction under
subsection (1)(f)(iii) and shall not take the personal exemption
under subsection (2). That person may elect not to take the
deduction of $20,000.00 for a single return and $40,000.00 for a
joint return and elect to take the deduction under subsection
(1)(f)(iii) and the personal exemption under subsection (2) if that
election would reduce that person's tax liability. A person who
takes the deduction under subsection (1)(e) is not eligible for the
unrestricted deduction of $20,000.00 for a single return and
$40,000.00 for a joint return under this subdivision.
(f) For a joint return, the limitations and restrictions in
this subsection shall be applied based on the age of the older
spouse filing the joint return.
(10) For tax years that begin after 2017, a taxpayer who
provides more than 1/2 of the support for a parent who is not
eligible for Medicaid and is not eligible as a dependent on the
taxpayer's federal income tax return pursuant to the internal
revenue code during the tax year may subtract an additional
exemption equal to the exemption amount determined under subsection
(2) or section 30a, whichever is greater, in the calculation that
determines taxable income. As used in this subsection:
(a) "Medicaid" means benefits under the program of medical
assistance established under title XIX of the social security act,
42 USC 1396 to 1396w-5, and administered by the department under
the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b.
(b) "Parent" means the birth or adoptive mother or father, or
stepmother or stepfather, of the taxpayer or of either of the
taxpayers if the taxpayers file a joint return.
(11) (10)
As used in this section, "oil
and gas" means oil and
gas
that is subject to severance tax under 1929 PA 48, MCL 205.301
to 205.317.
