Corporate income tax: revenue distribution; distribution of corporate income tax revenue; modify to reflect repeal of the strategic outreach and attraction reserve fund. Amends sec. 695 of 1967 PA 281 (MCL 206.695). TIE BAR WITH: HB 5294'25

House Bill 5296 aims to adjust how Michigan distributes corporate income tax revenue by removing allocations to the Strategic Outreach and Attraction Reserve (SOAR) Fund, which is being repealed. This change is tied to House Bill 5294, which seeks to eliminate the SOAR Fund and related programs.

Supporters argue that eliminating the SOAR Fund and redirecting corporate income tax revenue could lead to more efficient use of state funds, potentially benefiting other public services or reducing tax burdens.

Critics contend that dismantling the SOAR Fund may hinder Michigan's ability to attract and retain businesses, potentially impacting economic development and job creation efforts.