MI HB6070

Establishes a tax credit for qualified employers who voluntarily provide paid adoption leave to qualified employees, effective for tax years beginning January 1, 2023.

Allows employers to claim a credit equal to 50% of wages paid during adoption leave periods, with a maximum credit of $4,000 per qualified employee and a maximum leave period of 12 weeks.

Requires qualified employers to have a written policy offering at least 2 weeks of paid parental and adoption leave for full-time employees (prorated for part-time) at a rate of at least 50% of normal wages.

Defines qualified employees as individuals employed for at least 1 year whose compensation does not exceed 60% of the highly compensated employee threshold under federal tax code section 414(q)(1)(B).

Credits must be claimed on the employer's annual withholding tax return and are subject to appropriation limitations; adoption leave paid by the state or required by law is excluded from the credit calculation.