LANSING, Mich. (AP) – Michigan would provide tax incentives for business expansions under legislation approved by the Senate.

Michigan has moved away from such tax breaks under Gov. Rick Snyder’s watch in favor of a smaller pot of grants. But the Republican-led Senate voted 32-5 for the new incentives Wednesday because economic development officials say Michigan is losing business to states with generous incentives.

The bills would authorize Michigan to let companies keep part or all of their employees’ income tax withholdings for five or 10 years. The businesses would have to create at least 500 jobs that pay the regional average wage. Companies also could qualify if they add at least 250 jobs that pay 125 percent of the regional average.

Snyder supports the concept of the legislation, which goes to the House.