JBYS president, Greg Krueger, has been campaigning for years to see Sales Tax on the Difference become a reality for Michigan boaters. This is a significant milestone achieved for our industry!
Livonia, Mich., October 23, 2013 – The Michigan Boating Industries Association (MBIA) applauds the decision of Michigan’s leadership to pass Sales Tax on the Difference (STOD) legislation. With this, Michigan will no longer be at a competitive disadvantage with its neighboring states when it comes to watercraft and automotive sales. Currently, all of Michigan’s surrounding states have STOD, allowing consumers to only pay sales tax on the difference between the trade in value and the new purchase price.
Michigan Senate Bill 89 and House Bill 4234 passed through the legislature and now the Bill moves on to the Governor for his signature. The legislation exempts the value of a trade-in from the sales and use taxes on motorboats starting November 15, 2013. Automobiles will have a phase out process which starts December 15, 2013.
“The passage of ‘Sales Tax on the Difference’ legislation is a win-win for consumers and businesses across the state. Consumers will benefit and Michigan’s business climate will benefit through improved boat sales and ancillary marine sales,” said MBIA Board Chairman Jim Coburn, Coburn & Associates. “It’s a logical way to ‘even the economic playing field’ with many other states and improve Michigan’s revenue. We appreciate the great work of our legislators and Governor Snyder.”
“We are excited and thrilled that the legislature and the Governor have passed sales tax on the difference for the marine industry! This now enables the dealers in our state to be much more competitive in our region, as well as help spur sales that will save consumers money and bring jobs to the state – a win for everybody!” said Pete Beauregard, Colony Marine.
“MBIA has been working for years to pass this legislation. It is great to see the time and effort put forth by our Board, our members, and partners in Lansing finally made this happen for our industry and for the boaters in Michigan,” said MBIA Executive Director Nicki Polan.
MBIA thanks Muchmore Harrington Smalley & Associates, Governor Rick Snyder, the sponsors of Senate Bill 89: David Robertson -(primary), Tory Rocca, Phillip Pavlov, Patrick Colbeck, James Marleau, John Proos, Thomas Casperson, Jack Brandenburg, John Pappageorge, Michael Kowall, Joseph Hune, Mark Jansen, Darwin Booher, Michael Green, Arlan Meekhof, Tonya Schuitmaker, John Moolenaar, Mike Nofs, Bruce Caswell, Goeffrey Hansen, Howard Walker, David Hildenbrand, Rick Jones, Steven Bieda, Glenn Anderson, Hoon-Yung Hopgood , and Randy Richardville and the sponsors of House Bill 4234: Andrea M. LaFontaine – (primary), Joseph Graves, Nancy Jenkins, Frank Foster, Rick Outman, Ken Goike, Mike Shirkey, Lisa Posthumus Lyons, Kevin Cotter, Vicki Barnett, Charles M. Brunner, Phil Cavanagh, Hugh D. Crawford, Kevin Daley, Brandon Dillon, Anthony G. Forlini, Douglas A. Geiss, Bob Genetski, Harold L. Haugh, Kurt Heise, Joel Johnson, Tim Kelly, David Knezek, Robert L. Kosowski, Eileen Kowall, Kenneth Kurtz, Marilyn Lane, Dan Lauwers, Bill LaVoy, Tom Leonard, Matt Lori, Pete Lund, Peter MacGregor, Greg MacMaster, Margaret E. O’Brien, Dave Pagel, Peter Pettalia, Phil Potvin, Amanda Price, Al Pscholka, Bruce R. Rendon, Wayne A. Schmidt, Kate Segal, Sam Singh, Dian Slavens, Pat Somerville, Jim Stamas, Woodrow Stanley, Alberta Tinsley Talabi, Rob VerHeulen, Roger Victory, John J. Walsh, and Dale W. Zorn.
The Michigan Boating Industries Association is a non-profit trade association representing more than 300 marine businesses and serves as the voice for Michigan’s $7.4 billion marine industry. MBIA is dedicated to the advancement, promotion and protection of recreational boating in Michigan. For more information about the MBIA call 734.261.0123 or visit www.mbia.org.