MI HB5111

Adds a new deduction for full-time public safety officers (law enforcement, firefighters, emergency medical services personnel) employed by a local governmental unit (county, city, village, township) whose principal residence is located within that same unit, effective for tax years beginning after December 31, 2015.

Allows deduction of compensation received for public safety officer employment up to $33,530 for single returns and $45,295 for joint returns (when both spouses are officers in the same unit), with amounts adjusted annually for inflation based on the consumer price index beginning in 2017.

Makes various technical corrections to the income tax statute, including capitalization changes and grammatical corrections to existing language regarding retirement benefits, consumer price index references, and other deduction provisions.

Maintains existing deductions and exemptions for retirement/pension benefits, armed forces compensation, education savings accounts, Holocaust victim asset settlements, and other categories while modifying age-based restrictions on certain benefits for persons born after 1945.