Michigan Chamber of Commerce issued the following announcement on Sept. 9
The taxability of prosthetic medical devices and the MEGA tax credit transfer package saw some action in the both the State House and MI Senate last week.
Taxability of Prosthetic Medical Devices
House Bills 4203 and 4204 moved out of the House Tax Policy Committee last week with bipartisan support. The legislation would clarify that medically necessary, implantable prosthetic devices are exempt from the Sales and Use Tax at for-profit surgery centers and hospitals.
The Michigan Chamber supports these bills because such taxes only inflate the cost of healthcare, especially for employers.
In conjunction with a recently issued Letter Ruling, HBs 4203-4204 aim to finally deliver the clarity needed for both for-profit hospital surgery centers and the Department of Treasury.
MEGA Tax Credit Transfer
What happens when a company with a MEGA tax credit merges or acquires another company that does not a MEGA tax credit?
House Bills 4189-4191, now before the full Senate, represent what appears to be the new normal route in dealing with transferring credits between two companies. Working with the Michigan Economic Development Corporation, the Michigan Department of Treasury, and other external interests, we now seem to have a model to work from for future transactions.
For more information, contact Dan Papineau at dpapineau@michamber.com.
Original source can be found here.
Source: Michigan Chamber of Commerce
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