Exempts eligible fuel from sales and use tax in Michigan starting January 1, 2026.

This bill amends Michigan's sales and use tax law to exempt eligible fuel from taxation starting January 1, 2026. Eligible fuel includes motor fuel, alternative fuel, and leaded racing fuel, but excludes certain aviation fuel and fuel used for heating, cooling, or ventilation purposes. The exemption does not apply to electric fuel used to propel a vehicle if it is taxed under other state laws. The bill's enactment is contingent on the passage of other specified bills.

Exempts eligible fuel from sales and use tax in Michigan starting January 1, 2026.

This bill amends Michigan's sales and use tax law to exempt eligible fuel from taxation starting January 1, 2026. Eligible fuel includes motor fuel, alternative fuel, and leaded racing fuel, but excludes certain aviation fuel and fuel used for heating, cooling, or ventilation purposes. The exemption does not apply to electric fuel used to propel a vehicle if it is taxed under other state laws. The bill's enactment is contingent on the passage of other specified bills.