MI SB1540

Increases the business income tax rate from 4.95% to a higher rate by amending Section 201 of the Michigan Business Tax Act.

Requires taxpayers responsible for oil discharges (other than acts of God) to add back to their tax base cleanup expenses and damages paid under the Oil Pollution Act of 1990, provided certain conditions are met regarding regulatory notification, prior monitoring showing conditions, or court findings of fault.

Adds provisions allowing deductions for charitable contributions to the Michigan Education Trust advance tuition payment fund for tax years beginning after December 31, 2009.

Establishes book-tax difference deductions for qualifying assets over a 15-year period beginning in 2015, with percentages of 4% (2015-2019), 6% (2020-2024), and 10% (2025-2029).

Creates tax deductions for gains from sales of residential rental units to qualified affordable housing projects and deductions for qualified affordable housing projects operating rent-restricted units, subject to 15-year compliance agreements and lien provisions.