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Michigan Senate Delays Implementation on Tax on Services

By
Real Estate Broker/Owner with BROOKVIEW REALTY

Breaking News:

Senate Delays Implementation on Tax on Services

The first press conference for Ax the Tax, which the coalition held today, November 1, 2007, was truly a success in getting the attention of the Michigan Senate. Following the press conference, the Senate voted and passed SB845 to delay the implementation date of the tax on services from the initial date of December 1 to December 20. It is also expected that the Senate tie-barred SB845 to SB838 that would repeal the tax on services. The Senate Finance Committee has a hearing regarding SB838 scheduled for next Tuesday, November 6.

The Michigan Association of REALTORS worked diligently to ensure real estate services were not covered in the new tax, and opposed any tax on services. Though real estate services in general were not included, several items were that would impact our members' cost of conducting business in Michigan. "We are extremely happy with the action the Senate has taken in listening to the concerns of Michigan business owners and its citizens," said Bill Martin, MAR CEO. "There is still a lot of work to be done and there will be much debate about how to replace this revenue stream, but this is the first step in a better direction."

MAR is part of Ax the Tax, a coalition that is made up of individual job providers, trade associations and chambers of commerce from across Michigan. Members of the group are committed to working with the Legislature to repeal the sales tax on services. More information can be found at the coalitions Web site http://www.axthetax.com/ MAR is committed to keeping its members updated as new information becomes available.

Comments (1)

Terry Lynch
LAR Notary and Closing Services - Saint Clair Shores, MI

David

I wonder what this is going to do to the budget agreement that was passed. Are they going to finally make some cuts or pass reforms to make up for the loss of revenue from the service tax? Or are we going to face another shutdown? 

Nov 02, 2007 03:53 AM