Law ensures taxpayers have full access to audit information

Snyder also signs six other bills

LANSING, Mich. – Gov. Rick Snyder signed a bill today ensuring taxpayers who are under tax audit receive all relevant workpapers that support an audit determination.

“Undergoing a tax audit is a difficult process, and this bill will make sure taxpayers who are being audited have access to all pertinent information so they can be as prepared as possible,” Snyder said.

House Bill 4291, sponsored by state Rep. Jeff Farrington, also requires the Department of Treasury to establish audit standards that must be implemented within one year of the law taking effect. Standards include confidentiality, technical training, independence, due professional care, planning supervision, and understanding of the entity audited. Standards also include internal control and an assessment of risk, audit evidence and documentation, sampling and sampling projections, and elements of the audit report of findings.

The bill is now Public Act 35 of 2014.

The governor also signed the following six bills:

Senate Bill 437, sponsored by state Sen. Mike Nofs, clarifies the circumstances for when separate legal entities may be created by interlocal agreements. A separate legal entity may only be created if the interlocal agreement expressly provides for its creation. It is now PA 36.

SBs 629 and 630, sponsored by state Sen. Rick Jones, modify the Tax Increment Finance Authority Act to permit the refunding of certain bonds issued by the building authority and the tax increment finance authority of the city of Lansing. The bills are PAs 37 and 38.

HB 4740, sponsored by state Rep. Ed McBroom, revises membership criteria for a board of trustees at a joint county medical care facility in the Upper Peninsula, and eliminates a requirement that a member of the board also be a member of the social welfare board.  It is now PA 39.

HB 4810, sponsored by state Rep. David Pagel, eliminates a requirement in existing law that a home not be for sale in order for the homeowner, who lives in a nursing home or assisted living facility, to continue to claim a principal resident property tax exemption for the home. It is now PA 40.

HB 4941, sponsored by state Rep. Gail Haines, updates an existing law allowing licensed nurses from Canada to obtain a nonrenewable temporary license to practice in Michigan by removing a previous application deadline of Jan. 1, 2012, thus allowing them to apply indefinitely. It is now PA 41.

Visit legislature.michigan.gov for more information.

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