Michigan Business Tax Another Plank in Comprehensive Economic Plan .(MP3- 3MB)

Governor Granholm Signs Historic Michigan Business Tax into Law Granholm Traveling to Sweden, Germany to Bring New Investment, Jobs Back to Michigan Granholm: Michigan Business Tax Another Plank in Comprehensive Economic Plan Granholm Touts Alternative Energy for Michigan's Economy, Launches Ethanol, Biodiesel Pumps in Albion Granholm: Minimum Wage Increase Gives Michigan Workers Well-Deserved Raise Granholm Applauds Passage of New Michigan Business Tax

In a historic moment for the state of Michigan, I signed into law Senate Bill 94, officially enacting the Michigan Business Tax (MBT) to make Michigan more competitive and to attract job providers to the state. Instead of punishing business for creating new jobs, the MBT will encourage companies to invest in Michigan today and expand in the future. The new law takes effect January 1, 2008.

The MBT will cut taxes for more than seven out of ten Michigan businesses, including both small businesses and Michigan's major manufacturers. It is a fair, simple tax that will provide the same amount of revenue as the Single Business Tax it replaces, while encouraging job creation in Michigan. The MBT will help stimulate Michigan’s economy by providing tax credits to companies that locate or create new jobs in Michigan and tax credits for entrepreneurial and R&D activities. In addition, a significant cut in personal property tax will help the state’s largest employers and commercial businesses.

I also signed into law House Bills 4369-4372, companion bills to the MBT.

The MBT is a critical part of the state’ s comprehensive economic plan, which includes the 21st Century Jobs Fund, the Michigan Promise scholarship, and my “go anywhere, do anything” approach to bringing jobs to Michigan.

> read more