state of michigan

100th Legislature

Regular session of 2020

Introduced by Senators MacGregor, Nesbitt, Outman, VanderWall and Schmidt

ENROLLED SENATE BILL No. 1149

AN ACT to amend 1933 PA 167, entitled “An act to provide for the raising of additional public revenue by prescribing certain specific taxes, fees, and charges to be paid to the state for the privilege of engaging in certain business activities; to provide, incident to the enforcement thereof, for the issuance of licenses to engage in such occupations; to provide for the ascertainment, assessment and collection thereof; to appropriate the proceeds thereof; and to prescribe penalties for violations of the provisions of this act,” (MCL 205.51 to 205.78) by adding section 4gg.

The People of the State of Michigan enact:

Sec. 4gg. (1) Beginning January 1, 2021, the sale of a fully automated consumer goods handling system or system parts to a wholesaler for fulfillment of orders to persons engaged in the business of making sales at retail of consumer goods is exempt from the tax under this act.

(2) As used in this section:

(a) “Consumer goods” means finished goods for use primarily for personal, family, or household purposes.

(b) “Fully automated consumer goods handling system” means a fully automated, integrated goods handling system that separates, sorts, temporarily stores, recombines, and assembles palletized units of consumer goods and that occupies not less than 190,000 square feet of space in a facility owned, leased, or used by a wholesaler.

(c) “System parts” means supply chain optimization machinery, equipment, repair parts, and computer software that are component parts of a fully automated consumer goods handling system.

(d) “Wholesaler” means a person that purchases consumer goods from a manufacturer, producer, or other supplier and sells those consumer goods to another person for sale at retail.

This act is ordered to take immediate effect.

 

 

Secretary of the Senate

 

Clerk of the House of Representatives

Approved___________________________________________

____________________________________________________

Governor