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HB 6064

Corporate income tax: credits; credit for student loan payments made by employer on behalf of a qualified employee who did not receive a diploma or degree from an institution located in this state; provide for. Amends 1967 PA 281 (MCL 206.1 - 206.847) by adding sec. 679a. TIE BAR WITH: HB 6061'26, HB 6062'26, HB 6063'26, HB 6065'26

2025-2026 Regular Session Introduced by Joey Andrews and 14 co-sponsors

The bill offers a 25% Michigan income tax credit to employers for qualified student loan payments made for certain relocated employees, with a per-employee cap of 20% of Michigan p

bill electronically reproduced 06/09/2026
#corporateincometax:credits #highereducation:financialaid
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WeVote Research Nonpartisan
Bill Summary · HB 6064

Bill at a glance

  • Bill: HB 6064 (2025-2026, Michigan)
  • Purpose: Create a personal income tax credit for employers who pay a qualified student loan on behalf of certain employees who did not complete a degree in-state or complete a degree from an out-of-state institution before relocating to Michigan for the employer’s job.
  • Tax credit type: Individual income tax credit against the taxpayer’s Michigan income tax.
  • Rebate/credit amount: 25% of the qualified student loan payments made by the taxpayer on behalf of a qualified employee.
  • Special cap: The credit for any single employee in a single tax year cannot exceed 20% of the average yearly tuition to attend a public university in Michigan.
  • Eligibility evidence: Taxpayer must file a department-approved form with information about the payments, the employee, and other criteria to establish eligibility.
  • Refundability: If the credit exceeds the taxpayer’s tax liability for the year, the excess is refundable.
  • Enactment condition: The act only takes effect if a set of related bills (HB 6061, HB 6062, HB 6063, HB 6065) are enacted into law.
  • Effective date: Not specified beyond “for tax years beginning on and after the effective date of the amendatory act that added this section,” contingent on the other bills.

Main purpose and intent

  • To incentivize employers to support employees who carry student loan debt by providing a state tax credit to the employer for loan payments made on behalf of a qualified employee.
  • Specifically targets employees who did not graduate from a high school in Michigan or who did not obtain a bachelor’s, master’s, or other graduate degree from a Michigan higher education institution, but who relocated to Michigan for employment after obtaining such degrees elsewhere.
  • Aims to attract and retain talent by offsetting student loan burdens, potentially improving employee retention for positions that require relocation.

Key provisions and changes

  • Credit amount: 25% of the amount paid on a qualified student loan by the taxpayer (employer) in connection with a qualified employee.
  • Eligible employee criteria: The employee did not graduate from a Michigan high school or did not graduate from a Michigan postsecondary institution with a bachelor’s or higher degree, but relocated to Michigan for employment after obtaining that degree elsewhere.
  • Cap on credit per employee/year: The credit for any single employee in a tax year cannot exceed 20% of the average yearly tuition to attend a public university in Michigan.
  • Documentation requirements: Employers must use a form prescribed by the Michigan Department of Treasury to substantiate the payments. The form must include:
    • Employer’s federal employer identification number or Michigan treasury number
    • Employee’s name, address, and graduation date
    • Date and amount of each loan payment
    • Any other criteria deemed appropriate by the department
  • Refundability: Any credit that exceeds the employer’s tax liability for the year is refundable.
  • Enactment condition: The credit becomes effective only if four other related bills (HB 6061, HB 6062, HB 6063, HB 6065) are enacted into law.
  • Scope: Applies to tax years beginning on or after the act’s effective date.

Who would be affected

  • Employers in Michigan who make qualified student loan payments on behalf of eligible employees.
  • Eligible employees: Individuals who relocated to Michigan for employment after earning degrees from non-Michigan institutions and who did not complete a degree or attended a Michigan high school as described.
  • Michigan Department of Treasury: Responsible for administering the credit, collecting documentation, and approving eligibility.

Procedural and timeline aspects

  • Introduction date: June 9, 2026
  • Committee: Referred to the Committee on Economic Competitiveness
  • Enactment trigger: The bill’s effective date is contingent on the concurrent passage of HB 6061, 6062, 6063, and 6065 (the TIE BAR mechanism ties these bills together).
  • Tax year applicability: For tax years beginning on or after the effective date of the act adding section 679a.

Notes for readers

  • The credit is designed as a business incentive rather than a direct individual employee tax credit.
  • The 25% of loan payments and the 20% cap relative to public university tuition create a balance between meaningful employer support and fiscal constraints for the state.
  • The refundable nature of any excess credit means employers could receive a cash refund if the credit exceeds their tax liability.

If you’d like, I can provide a brief comparison with similar credits in other states or outline potential fiscal implications based on assumed take-up.

Compiled from official sources — confirm details with the bill’s official record.

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