Michigan HB4375 amends the use tax to provide exemptions for trade-in values of personal electronics and other specified items.

Michigan HB4375 amends the use tax to provide exemptions for the trade-in value of personal electronics, motor vehicles, recreational vehicles, and titled watercraft when the agreed-upon value is separately stated on the invoice. It also exempts delivery and installation charges if separately stated, and excludes certain charges like employee discounts, interest, financing, and taxes imposed directly on the consumer. The bill specifies that these exemptions do not apply to leases or rentals and mandates the cancellation of outstanding balances related to certain charges by a specified date.

Michigan HB4375 amends the use tax to provide exemptions for trade-in values of personal electronics and other specified items.

Michigan HB4375 amends the use tax to provide exemptions for the trade-in value of personal electronics, motor vehicles, recreational vehicles, and titled watercraft when the agreed-upon value is separately stated on the invoice. It also exempts delivery and installation charges if separately stated, and excludes certain charges like employee discounts, interest, financing, and taxes imposed directly on the consumer. The bill specifies that these exemptions do not apply to leases or rentals and mandates the cancellation of outstanding balances related to certain charges by a specified date.