SB 1144 Summary

• Establishes a 5% excise tax called the "Pure Michigan assessment" on room charges for short-term rentals (single-family homes or 1-to-4-unit dwellings rented for less than 28 days) statewide.

• Allows owners of short-term rentals to recover the tax by adding the assessment amount to guest bills, provided they disclose it on receipts.

• Directs the state treasurer to administer the tax using existing use tax collection procedures and authority under the 1941 Revenue Act.

• Requires all revenue from the Pure Michigan assessment to be deposited into a restricted state treasury account and appropriated exclusively for the Michigan Strategic Fund and Michigan Economic Development Corporation to fund the Pure Michigan promotional campaign.

• Takes effect only if Senate Bill No. 1145 of the 100th legislature is enacted into law.