MI HB6450

Allows taxpayers to claim a credit equal to 50% of cash and food donations to homeless shelters, food kitchens, food banks, or similar entities providing overnight accommodation or meals to indigent persons in Michigan, effective for tax years beginning January 1, 2023.

Caps the credit at $100 per taxpayer or $200 for joint returns; for resident estates or trusts, the maximum is 10% of tax liability or $5,000, whichever is less.

Requires that donations be tax-deductible under federal tax law and prohibits resident estates and trusts from claiming credit on amounts previously deducted from federal taxable income.

Excess credits that exceed a taxpayer's tax liability are not refundable.

Allows charitable entities to request department determination of credit eligibility, with the department required to respond within 30 days of receiving the request.