Sales tax: distribution; reporting and earmark of auto-related sales tax for the comprehensive transportation fund; provide for. Amends secs. 6 & 25 of 1933 PA 167 (MCL 205.56 & 205.75) & adds sec. 18a.
Key claim: HB6079 would amend Michigan’s General Sales Tax Act to earmark auto-related sales tax revenues for the Comprehensive Transportation Fund, changing how those funds are reported and distributed.
Abstract
(HB6079 · 103rd Legislature) Sales tax: distribution; reporting and earmark of auto-related sales tax for the comprehensive transportation fund; provide for. Amends secs. 6 & 25 of 1933 PA 167 (MCL 205.56 & 205.75) & adds sec. 18a. Latest action (2026-06-16): Bill Electronically Reproduced 06/11/2026
Why this matters
Michigan’s sales tax distribution is a foundational plumbing decision that determines how much money flows to schools, local governments, and transportation. Earmarking auto-related sales tax revenue to the Comprehensive Transportation Fund would provide a more stable, dedicated funding stream for roads and transit but could shift revenue away from the school aid fund and general fund unless offset. For taxpayers, the tax rate does not change; for the state budget, it reallocates roughly the portion of the 6% sales tax generated by vehicle-related purchases.