April 29, 2003, Introduced by Senator EMERSON and referred to the Committee on Finance.
A bill to amend 1967 PA 281, entitled
"Income tax act of 1967,"
by amending section 4 (MCL 206.4).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 4. (1) "Board" means the state board of tax appeals.
2 (2) "Business income" means all income arising from
3 transactions, activities, and sources in the regular course of
4 the taxpayer's trade or business and includes, but is not limited
5 to all of the following:
6 (a) All income from tangible and intangible property if the
7 acquisition, rental,
management, and or disposition of the
8 property constitutes integral parts of the taxpayer's regular
9 trade or business operations.
10 (b) Gains or losses from stock and securities of any foreign
11 or domestic corporation and dividend and interest income.
1 (c) Income derived from isolated sales, leases, assignment,
2 licenses, divisions, or other infrequently occurring
3 dispositions, transfers, or transactions involving property if
4 the property is or was used in the taxpayer's trade or business
5 operation.
6 (d) Income derived from the sale, liquidation, or winding up
7 of a business.
8 Enacting section 1. This amendatory act is curative and
9 intended to clarify the original intent of the legislature with
10 respect to, and prevent any misinterpretation of, the term
11 regular as used in the definition of business income.