HB 6480 Summary

• Creates "Michigan tuition reimbursement credit" allowing qualified taxpayers to claim a tax credit equal to 25-50% of qualified student loan payments made during the tax year, based on meeting eligibility conditions.

• Credit is limited to 20% of average yearly tuition at similar Michigan postsecondary institutions per tax year and is only available within 10 years following graduation.

• Qualified taxpayers must be Michigan residents employed in Michigan and have graduated from a Michigan high school or received a degree from a Michigan postsecondary institution.

• Establishes parallel employer credit allowing businesses to claim 25-50% of student loan payments made on behalf of qualified employees who graduated within the preceding 10 tax years.

• Both credits are refundable if they exceed the taxpayer's tax liability, effective for tax years beginning January 1, 2019.