MI SB1017

Amends Michigan's tobacco tax law to provide compensation to stamping agents for equipment upgrades necessary to implement digital stamp technology for cigarette taxation.

Establishes reimbursement of 5.55% of the net purchase price of eligible digital stamping equipment for the first 18 months following digital stamp implementation, including applicable sales/use taxes and shipping.

Provides additional compensation of 0.5% of cigarette tax revenue to stamping agents until direct technology and equipment costs are fully recovered, with a cap of $60,000 total for all stamping agents combined.

Allows stamping agents to claim compensation for direct costs of case packers, conveyors, and associated equipment necessary for digital stamping operations, provided such equipment supplements rather than replaces existing stamping machines.

Defines "eligible equipment," "existing equipment," and "qualified equipment" to clarify which purchases qualify for reimbursement under the digital stamp transition program.