HB 6035 Summary

• Allows qualified employers to claim a tax credit against income tax for purchasing personal protective equipment and supplies for Michigan employees, effective for tax years beginning January 1, 2020 or later.

• Provides 100% credit for employers that increased employees by at least 10% since February 1, 2020 and whose average employee wage exceeds the regional average wage; provides 50% credit for employers that retained the same employee count.

• Requires qualified employers to adopt and submit a COVID-19 safety protocol plan to the state department that complies with applicable law, follows infection prevention best practices, promotes remote work, and implements enhanced cleaning and testing procedures.

• Defines personal protective equipment and supplies to include protective equipment (masks, face shields, respirators, gloves, safety glasses) and disinfecting products (antibacterial soap, sanitizing spray, hand sanitizer).

• Allows excess credits to be refunded if they exceed the taxpayer's tax liability and permits the department to require reasonable proof of purchase prices and employee retention or hiring numbers.