Bill provides a $5,000 tax credit for improvements to a principal residence

LANSING, Mich. — A bill introduced by Sen. Vincent Gregory (D–Lathrup Village), that would provide an income tax credit to taxpayers who purchase a qualified residence or retrofit their home to improve accessibility for persons with disabilities, today passed the Michigan Senate, 33-3.

Under Senate Bill 184, for a homeowner to earn the tax credit, the purchased residence or planned renovations must meet accessibility and visitability standards, and be certified by the Michigan State Housing Development Authority.

“Improving physical access in our homes helps to eliminate barriers and provides greater opportunities — especially with regards to employment and social freedoms,” Sen. Gregory said. “The architectural features of a home influence the quality of life and independence of not only the resident, but also others who may have physical limitations to their everyday lives.”

The credit can be claimed for either four percent of the total purchase price of a qualified principal residence, or up to 50 percent of the cost to retrofit an existing residence. The amount of the credit would be capped at $5,000.

Sen. Gregory worked closely with the Multiple Sclerosis Society and other organizations to develop legislative solutions that would improve the daily lives of individuals and their families living with physical limitations, but was quick to point out that accessibility credits benefit everyone.

“My hope is that this bill will alleviate some financial burdens and help older adults and disabled individuals stay in the comfort of their own homes, and communities, for as long as they are safely able to do so,” Sen. Gregory said.

SB 184 now heads to the Michigan House of Representatives for a vote.