LANSING, Mich. — State Sen. Kevin Daley was joined by Tom Langan and Paul Abromaitis, owners of Hideaway Lanes in Almont, before the Senate Committee on Finance on Wednesday as they testified in support of Daley’s legislation to provide tax relief to struggling businesses that were shuttered during the pandemic.
“We’ve lost countless businesses to this pandemic, and the ones who did manage to survive are struggling to hang on,” said Daley, R-Lum. “My colleagues and I have supported relief in many forms throughout this pandemic and we are continuing to look at ways we can help those who are still facing tough times. My bill would help offset some of the losses businesses were forced to take due to the shutdown.”
Senate Bill 393 would provide businesses with additional property tax relief for tax years 2020 and 2021.
The legislation includes a two-year refundable tax credit for businesses that were shut down due to the pandemic for at least six weeks and lost at least 25% of their sales. This is an income tax credit that would allow the eligible business to claim a credit equal to the amount of property taxes attributable to the business during the same calendar year.
The property on which the credit is based must be used in connection with the afflicted business. It would not apply to property held by a business that is used for other purposes.
“Businesses will still need to pay their property taxes, but this bill gives them a way to recoup some of those losses through their income tax return,” Daley said.
The bill remains before the Senate Committee on Finance for further consideration.
Editor’s note: A print-quality version of the above photograph is available by clicking on the image or by visiting the senator’s website at www.SenatorKevinDaley.com. Click on “Photos” under the In the News tab.
Photo caption: State Sen. Kevin Daley, R-Lum, was joined by Tom Langan (left) and Paul Abromaitis, owners of Hideaway Lanes in Almont, before the Senate Committee on Finance on Wednesday as they testified in support of legislation Daley sponsored that would help struggling businesses recoup certain losses resulting from the state-ordered shutdowns.