HB4287 allows individuals and businesses to deduct certain government grants used for broadband expansion from their taxable income. The deduction applies to funds received through several state and federal broadband programs intended to improve or expand high-speed internet infrastructure. The goal is to ensure that broadband development grants are not treated as taxable income, making it easier and more affordable for companies to invest in expanding internet access, particularly in underserved areas.
The Michigan State House of Representatives passed HB4287 on May 21, 2025 by a vote of 97 to 8. We have assigned pluses to the nays because this bill reinforces government-subsidized broadband by granting special tax treatment to recipients of these programs. Such subsidies and targeted tax deductions allow government to pick winners and losers in the marketplace, benefiting select businesses and industries at the expense of others. These policies expand government interference in the market and create a system of economic favoritism. Additionally, the federal government has no constitutional authority to engage in broadband policy, and Michigan should not legitimize this unconstitutional usurpation.
United States Constitution
Fifth Amendment
No person shall be held to answer for a capital, or otherwise infamous crime, unless on a presentment or indictment of a Grand Jury, except in cases arising in the land or naval forces, or in the Militia, when in actual service in time of War or public danger; nor shall any person be subject for the same offence to be twice put in jeopardy of life or limb; nor shall be compelled in any criminal case to be a witness against himself, nor be deprived of life, liberty, or property, without due process of law; nor shall private property be taken for public use, without just compensation.
United States Constitution
Ninth Amendment
The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people.
United States Constitution
14th Amendment Section 1
All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside. No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws.
