MI HB4001

Creates a Michigan taxpayer rebate fund and issues automatic rebate payments of $180 ($90 for married filing separately or joint filers) to eligible residents who filed 2022 tax returns, with advance refunds issued before December 31, 2023.

Increases the earned income tax credit from 6% to 30% of the federal credit for tax years beginning after December 31, 2022, and provides a one-time additional 24% credit for 2022 tax year filers to be refunded automatically.

Phases in full deductions for certain retirement and pension benefits over 2023-2026 tax years: 25% deductible in 2023, 50% in 2024, 75% in 2025, and fully deductible beginning 2026 for taxpayers born after 1945.

Allocates income tax revenue for fiscal years 2022-2023 through 2024-2025 to Michigan housing and community development fund ($50 million), revitalization and placemaking fund ($50 million), and strategic outreach and attraction reserve fund ($500 million) before depositing remainder to general fund.

Creates revitalization and placemaking fund and grants program to invest in rehabilitation of vacant and blighted buildings, historic structures, and development of place-based infrastructure in downtowns and social zones.