HB 5821 Summary

• Allows taxpayers to claim a 50% income tax credit against qualified investments made in qualified nonprofit organizations between January 1, 2021 and December 31, 2025, subject to Michigan Strategic Fund certification.

• Requires taxpayers to obtain certification from the Michigan Strategic Fund at least 30 days before making an investment and attach the certificate to their tax return.

• Limits the total amount of all credits the Michigan Strategic Fund may certify statewide to $25,000,000.

• Restricts credits to taxpayers without felony convictions involving fiduciary obligations, fraud, theft, misappropriation, or corruption, and requires the Fund to report all certifications to state officials.

• Permits unused credits to be carried forward for up to 5 tax years but does not allow refunds of credits exceeding a taxpayer's annual tax liability.