SB 947 Summary

• Exempts qualified heavy equipment rental personal property from property tax collection under Michigan's general property tax act, effective December 31, 2020 and annually thereafter, provided an exemption has been properly claimed under the qualified heavy equipment rental personal property specific tax act.

• Defines "qualified heavy equipment rental personal property" as mobile construction, earthmoving, or industrial equipment rented to customers, including attachments and ancillary equipment, but excluding handheld tools or equipment for oil and gas, mining, or forestry.

• Specifies that qualifying equipment includes self-propelled non-highway vehicles, industrial electrical generation equipment, lift equipment, material handling equipment, HVAC equipment, compressors, generators, pumps, shoring and trenching equipment, and vehicles not subject to Michigan vehicle code titling.

• Defines "qualified renter" as a person engaged in equipment rental (NAICS codes 532412 or 532310) that primarily rents such property to the public rather than to affiliates for direct use, though affiliate use through rental to the public is permitted.

• Enactment is conditioned on Senate Bill No. 946 of the 100th Legislature being enacted into law.