Republican lawmakers have introduced bills in Lansing that would prohibit the extension of tax credits originating under the now-defunct Michigan Economic Growth Authority, which have accumulated a $9.4 billion liability in the state and caused a budget shortfall in the current fiscal year.
The first bill prohibits MEGA tax credit extensions as currently allowed in the Michigan Economic Growth Authority act and the second bill prohibits MEGA tax credit extensions as currently allowed in the Michigan Business Tax act.
Officials say the state will be paying the tax credits until 2031. They also say that under Governor Rick Snyder’s administration they will no longer be making any amendments to the credits.
Both bills were referred to the House Tax Policy Committee.