MI HB5008

Establishes corporate income tax rate of 6.0% on taxpayers with business activity in Michigan, with adjustments for various types of income and expenses including interest, dividends, net operating losses, and mineral extraction.

Defines when sales are attributed to Michigan for tax purposes, including rules for tangible property delivery, real property location, service performance, loans, telecommunications, and media receipts based on customer location or benefit received.

Provides small business tax credit for taxpayers with gross receipts not exceeding $20,000,000 and adjusted business income not exceeding $1,300,000, reducing tax liability to 1.8% of adjusted business income if certain compensation thresholds are met.

Disqualifies businesses from the small business credit if a shareholder or officer's compensation exceeds $180,000, with graduated credit reductions for compensation between $160,000 and $180,000.

Allows business losses incurred after December 31, 2011 to be carried forward for up to 10 years to offset future corporate income tax liability.