HB 4778 Summary

• Creates a green residential building tax credit for Michigan taxpayers beginning in tax year 2020, with $5,000 credit for purchasing a qualified green residential building.

• Provides tiered credits for eligible renovations or additions to existing residential buildings based on certification level: 30% of costs up to $4,000 for platinum certifications, up to $3,000 for gold certifications, or up to $2,000 for silver certifications.

• Requires buildings or renovations to be certified by recognized green building organizations including LEED, NGBS, GreenStar, Living Building Challenge, or Zero Energy Ready Home programs, with certification documentation attached to tax return.

• Allows unused credits to be carried forward for up to 4 tax years to offset future tax liability, but does not permit refunds of excess credits.

• Restricts eligibility to residential structures in Michigan constructed or renovated by licensed contractors with proper building permits under Michigan construction codes.