Overview
- Michigan Court of Claims Judge Sima G. Patel denied a preliminary injunction, clearing the tax to take effect on Jan. 1, 2026.
- The court found the road-funding statute did not amend the 2018 MRTMA and said the law’s phrase “in addition to all other taxes” permits a separate levy.
- Litigation continues on the narrow question of the tax’s impact on MRTMA’s goals, with an evidentiary and scheduling hearing set for Jan. 13, 2026.
- The 24% wholesale excise targets transfers from growers and processors to retailers, with state estimates projecting about $420 million a year for road repairs.
- Industry leaders say they will appeal and warn of higher prices and illicit-market risk, while the judge deemed claimed harms speculative at this stage.