This week, the House Economic Development and Small Business Committee considered bipartisan legislation restoring the 2017 Good Jobs for Michigan program. Under the proposal, companies could keep up to 100% of withholding taxes for new employees.
Key Points:
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- The program name would change to High-Wage Incentive for Regional Employment (H.I.R.E.) in Michigan.
- To be eligible, a business must create at least 250 new jobs with a median annual wage of 125% of the prosperity region or 25 new jobs with a median wage of 150% of the prosperity region.
- The jobs created must be permanent.
- The program is capped at $200 million per year.
- The Michigan Strategic Fund (MSF) would administer the program and the legislation spells out the criteria they must follow when deciding if a business qualifies for the program.
- A business in the program could receive up to 100% of the withholding tax for up to ten years. The legislation outlines what the MSF should consider when determining the amount a business could receive and the duration.
Next Steps:
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- The three-bill package remains before the committee awaiting further consideration.
