LANSING-- Today, Senator Glenn S. Anderson voted to eliminate the burdensome 22 percent Michigan Business Tax surcharge.

“In 2007, I voted against the legislation which imposed this new tax on business, and today’s vote is consistent with my work to help spur economic growth,” said Anderson. “In addition to investing in training and infrastructure, we must help businesses direct their money toward new jobs and put Michigan back to work.”

The MBT surcharge was rushed through the legislature in an effort to balance the state budget as the threat of a government shutdown loomed heavily over lawmakers in 2007.

“I have heard devastating accounts of the impact of this surcharge from scores of businesses in the 6th district,” Anderson said. “The time to act is now. Serious changes must be made to help convince businesses to stay in Michigan and attract others to our state,” said Sen. Anderson. “I hope this legislation will be a catalyst for larger, more comprehensive tax reform to create a more efficient and streamlined state government and help move Michigan forward.”

Senate Bill 1, as passed by the Senate today, will phase out the current 22% surcharge on the business tax over the next two years. The surcharge will be reduced by 50% in 2009 followed by its complete elimination in 2010. The legislation will now be transmitted to the House of Representatives for that chamber’s consideration. Senator Anderson and his Democratic colleagues also sought to tie legislation that would institute a moratorium on home foreclosure to the surcharge repeal today, which would help Michigan’s struggling homeowners as well as the business community. That measure failed on party lines.

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Anderson represents the sixth state senate district which includes the communities of Livonia, Westland, Garden City, and Redford Township. He also serves as the Assistant Democratic Floor Leader.