Daily Tax Report: State

GM Shuffles $2.3B Michigan Tax Credit To Charge EV Production

Jan. 27, 2020, 10:26 PM

A rare tax-incentive deal amendment is going to save Michigan cash instead of increasing incentives to General Motors Co. for a $2.2 billion Detroit electric-vehicle plant expansion.

The Detroit-Hamtramck assembly plant expansion, which is supposed to add 2,200 new jobs, followed an unusual deal GM struck with the state Jan. 22. In that arrangement, the company agreed to forego up to $325 million in tax incentives so that it could apply its existing job-retention tax credit to multiple locations across the state.

The amended MEGA Tax Credit agreement said the deal would reduce Michigan’s overall...

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