SB 1150 Summary

• Exempts fully automated consumer goods handling systems from Michigan's use tax, effective January 1, 2021.

• Applies to wholesalers using the systems for fulfillment of orders to retailers of consumer goods.

• Defines "fully automated consumer goods handling system" as an integrated goods handling system occupying at least 190,000 square feet that separates, sorts, stores, recombines, and assembles palletized consumer goods units.

• Exemption includes system parts such as supply chain optimization machinery, equipment, repair parts, and computer software that are component parts of the automated system.

• Takes immediate effect upon enactment.