Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website
Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website
The Michigan Board of State Canvassers is currently discussing the language for a ballot initiative that could introduce a new tax affecting many small business owners in Michigan. Public comments are being accepted, and individuals have until 5:00 pm on Monday, July 21st to submit their feedback.
The board's responsibility is to approve a clear and unbiased 100-word summary that will appear at the top of each petition. This summary should accurately reflect the contents of the petition. Concerns have been raised that a misleading summary might lead voters to support this measure without understanding its full implications.
Three key points are emphasized for inclusion in the summary:
1. The proposed tax affects both individuals and small businesses. It has been suggested that two-thirds of those who would pay this new tax are small business owners, due to Michigan’s individual income tax being the primary business tax for most small businesses.
2. The proposal would eliminate Michigan’s flat income tax by rewriting the State Constitution to allow for a new top-level tax rate, increasing from 4.25% to 9.25%. This change would also permit future taxes not currently allowed under the Constitution.
3. There is no assurance that this initiative will increase funding for schools as claimed. The language allows the legislature flexibility in implementing it, with no guarantee of an increased School Aid Budget.
Individuals are encouraged to submit public comments urging an accurate petition summary so voters can make informed decisions regarding this initiative's potential impact on Michigan's small businesses and economy.