Sales, use taxes don’t apply to delivery, installation services
State Rep. Mark Tisdel’s bipartisan plan to cut taxes and lower costs for Michigan small businesses and customers was signed into law on Wednesday by Gov. Gretchen Whitmer.
The governor signed House Bills 4039 and 4157, which clarify that sales and use taxes do not apply to delivery and installation services, as long as the services are listed separately from the product on an invoice. Tisdel, R-Rochester Hills, helped introduce the plan earlier this year, when he sponsored HB 4040, which is equivalent to HB 4157.
“I proudly worked across the aisle to reduce the tax burden on Michigan small businesses that deliver or install appliances, furniture, and other goods to Michiganders,” said Tisdel, who serves on the House Tax Policy Committee. “These new laws will cut costs for small businesses that have been unfairly taxed and lower prices for customers. My bipartisan legislation will help Michigan’s economy continue to grow.”
Tisdel celebrated the bipartisan accomplishment on Wednesday as the House passed SB 160, the final piece to the delivery and installation tax plan.
“People look to their local officials to ensure public safety, keep their communities clean, and maintain beautiful, recreational parks,” said Tisdel. “Local governments need dependable funding to pay for these needs, but for far too long, state revenue sharing has been inconsistent and often insufficient.”