MI SB0985

Establishes the "Michigan Insurance Premium Tax Prepayment Act" to create a funding source for state appropriations through the sale of prepayment tax (PTP) certificates to insurance companies.

Allows insurance companies subject to premium taxes to prepay future tax liabilities by purchasing PTP certificates, which provide tax offsets equal to 10% annually for 10 consecutive premium tax years.

Limits total PTP certificates approved to not exceed $900,000,000 in face value.

Requires the Department of Treasury to select a manager within 30 days with specific qualifications including $400,000,000+ prior experience marketing premium tax credit certificates in at least 5 states and over $5,000,000,000 in equity capital.

Permits certificate holders to assign tax offsets to other Michigan insurance companies with premium tax liability and allows unused offsets to apply to any replacement tax if premium taxes are eliminated or reduced; act takes effect only if Senate Bills 986 and 987 are enacted.