MI SB1017

Establishes a 20% tax credit for qualified taxpayers' research and development expenses in Michigan exceeding a baseline amount, for tax years 2025-2028, with a $100,000,000 annual cap and $5,000,000 per-taxpayer maximum.

Creates a 20% tax credit for qualified taxpayers' expenses related to storage and maintenance of finished goods inventory, for tax years 2025-2028, with a $25,000,000 annual cap and $1,000,000 per-taxpayer maximum, limited to businesses with less than $5,000,000 in annual gross revenue.

Qualifies taxpayers designated by the Michigan Strategic Fund whose primary business activity involves defense contracting, aerospace defense, aerospace equipment manufacturing, or related aerospace and defense technology activities.

Requires Michigan Strategic Fund certification for taxpayers to claim credits and mandates annual reporting to the legislature on credit effectiveness, applicant numbers, and qualified taxpayer information.

Takes effect only if Senate Bill 1018 is enacted into law.