MI HB5611

Exempts the sale of adult diapers and children's diapers from the use tax, adding a new exemption category (hh) to Section 4(1).

Defines "adult diapers" as diapers other than children's diapers, "children's diapers" as diapers marketed to be worn by children, and "diaper" as an absorbent garment for humans incapable of or having difficulty controlling bladder or bowel movements.

Requires revenue lost from the new diaper exemption to be deposited into the state school aid fund, similar to the existing feminine hygiene products exemption under Section 4(1)(gg).

Amends Section 21(3) to specify that revenue lost from exemptions under sections 4(1)(gg) and (hh) must be deposited into the state school aid fund as determined by the department.

Takes effect October 1, 2022.