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Committee hears proposal to create tax credit for bottle-bill distributors to offset operating costs
Summary
Representative Whitworth and industry witnesses urged the committee to create a half-cent-per-container income tax credit (House Bill 48 25) for distributors who manage collection, transport, and recycling of returnable beverage containers, citing rising operating and capital costs and uneven historical reimbursement.
The committee heard testimony on House Bill 48 25, a proposal to create individual and corporate income tax credits for distributors that originate deposits on beverage containers to offset the costs of operating Michigan’s bottle-deposit system.
Representative Whitworth framed the proposal as compensation for distributors who pick up, transport, clean, process and recycle returnable containers after they are returned to stores. Brett Visner of the Michigan Beer and Wine Wholesalers Association told the committee distributors handle roughly 70% of containers processed through the statewide system and…
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