Bay City, Michigan 48706
Front Page Photo of the Day Log-IN About us May 1, 2009
(Prior Story)   Business ArTicle 3815   (Next Story)
Sponsored by Bay Area Chamber of Commerce

Mayes Introduces Plan to Extend Tax Breaks for Leased Property

Bay City Lawmaker Looks To Address Inequity Between Leased, Owned Property

May 1, 2009       Leave a Comment
By: MyBayCity Staff

Printer Friendly Story View

State Representative Jeff Mayes (D-Bay City) this week introduced a plan that will provide the same tax breaks for leased property as currently exist for the ownership of industrial personal property. The plan would affect both the property taxes these companies pay and their Michigan Business Tax (MBT) liability.

"We all read the headlines, and the struggles Michigan businesses have faced in this economic downturn," Mayes said. "We need to give Michigan companies every chance to succeed. Under my plan, we would give the same tax incentives to lease property as those that currently exist to purchase it, which will benefit companies that primarily lease goods."

Mayes' plan would include leased machinery, equipment, furniture, fixtures and dyes located on industrial parcels in the definition of "industrial personal property" in the MBT, which qualifies for a 24-mill property tax abatement and a 35 percent credit of the remaining tax liability. The plan also will allow lessees to qualify for MBT credits that are currently only available to property owners.

Under the current tax structure, companies have a strong incentive to purchase equipment, rather than lease. The legislation would attempt to provide equivalent treatment for both ownership and leasing of property, removing an artificial distinction between the two and allowing lessees to more effectively compete.

"One of my top priorities is creating a more favorable business climate that will attract new companies to Michigan and the Bay City area," Mayes said. "By making these common-sense reforms to our tax code, we'll create jobs and take a key step on the road to economic recovery."

Printer Friendly Story View
Prior Article

June 13, 2019
by: Lynn Naylor
100 Years Of Michigan State Parks
Next Article

June 11, 2019
by: Dave Rogers
LOOKING BACK: Bay City Eastern Revived After 97 years
Agree? or Disagree?

MyBayCity Staff

More from MyBayCity Staff

Send This Story to a Friend!       Letter to the editor       Link to this Story
Printer-Friendly Story View

--- Advertisments ---

0200 Nd: 06-11-2019 d 4 cpr 0


(Ads not affiliated with Google)

Ads By
Historical Press - By Dave Rogers
Purchase Your Copy Today!

Ads By
Begick Nursery and Garden Center

Ads By
Bay Area Chamber of Commerce
Click Here to Visit Our Site!
Improving The Economic Climate, Business Environment & Quality of Living Throughout The Bay Area

Designed at OJ Advertising, Inc. (V3) (v3) Software by Mid-Michigan Computer Consultants
Bay City, Michigan USA
All Photographs and Content Copyright © 1998 - 2019 by OJA/MMCC. They may be used by permission only.
P3V3-0200 (1) 0   ID:Default   UserID:Default   Type:reader   R:x   PubID:mbC   NewspaperID:noPaperID
  pid:1560   pd:11-18-2012   nd:2019-06-11   ax:2019-06-15   Site:5   ArticleID:3815   MaxA: 999999   MaxAA: 999999
CCBot/2.0 (