MI SB0617

Exempts data center equipment from Michigan's use tax from January 1, 2016 through December 31, 2035 when purchased by qualified data center owners/operators or colocated businesses for use in data center operations.

Exemption continues after January 1, 2022 only if qualified data centers, colocated businesses, and their contractors collectively establish at least 400 data center industry jobs in Michigan since January 1, 2016, with reporting required by April 1, 2022.

Exemption continues after January 1, 2026 only if at least 1,000 data center industry jobs have been collectively established in Michigan since January 1, 2016, with reporting required by April 1, 2026.

Defines "data center equipment" to include computers, servers, routers, switches, storage batteries, generators, power supply units, environmental control equipment, cabling, and construction materials used in data center construction or modification, but excludes third-party equipment supplying primary power.

Amends exemption claim procedures to establish standardized electronic formats, eliminate signature requirements for electronic claims, provide sellers with liability protection if purchasers improperly claim exemptions, and allow 120 days to obtain completed exemption forms after sale.