HOUSE Substitute For
SENATE BILL NO. 943
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 51 (MCL 211.51), as amended by 2012 PA 57.
The people of the state of michigan enact:
Sec. 51. (1) If a township treasurer does not file his
or her bond with the county treasurer as prescribed by law and the township
board fails to appoint a treasurer to give the bond and deliver a receipt for
the bond to the supervisor by December 10, the supervisor shall deliver the tax
roll with the necessary warrant directed to the county treasurer, who shall
make the collection and return of taxes. The county treasurer, pursuant to the
adoption of a resolution by the county board of commissioners, has the same
powers and duties to add a property tax administration fee, a late penalty
charge, and interest to all taxes collected as conferred upon a township
treasurer under section 44. The excess of the amount of property tax
administration fees over the expense to the county in collecting the taxes shall must be returned to the township, and the
remainder of the property tax administration fees and any late penalty charges
imposed shall must be credited to the county general
fund. For the purpose of collecting the taxes, the county treasurer is vested
with all the powers conferred upon the township treasurer and an action may be
brought on the county treasurer's bond under the same circumstances as on those
of a township treasurer.
(2) A local tax
collecting unit that collects a summer property tax shall defer the collection
of summer property taxes against the following property for which a deferment
is claimed until the following February 15:
(a) The principal
residence of a taxpayer who meets both of the following conditions:
(i) Meets 1 or more of the following conditions:
(A) Is a totally and permanently disabled person, blind
person, paraplegic, quadriplegic, eligible serviceperson, eligible veteran, or
eligible widow or widower, as these persons are defined in chapter 9 of the
income tax act of 1967, 1967 PA 281, MCL 206.501 to 206.532.
(B) Is 62 years of age or older, including the unremarried
surviving spouse of a person who was 62 years of age or older at the time of
death.
(ii) For the prior taxable tax year had a total
household income of the following:
(A) For taxes levied before January 1, 2005, $25,000.00, or
less.
(B) For taxes levied after December 31, 2004 and before
January 1, 2006, $35,000.00, or less.
(C) For taxes levied after December 31, 2005 and before
January 1, 2007, $37,500.00, or less.
(D) For taxes levied after December 31, 2006, $40,000.00, or
less.
(b) Property classified or used as agricultural real property
if the gross receipts of the agricultural or horticultural operations in the
previous year or the average gross receipts of the operations in the previous 3
years are not less than the household income of the owner in the previous year
or the combined household incomes in the previous year of the individual
members of a limited liability company or partners of a partnership that owns
the agricultural real property. A limited liability company or partnership may
claim the deferment under this section only if the individual members of the limited
liability company or partners of the partnership qualified for the deferment
under this section before the individual members or partners formed the limited
liability company or partnership.
(c) For summer property taxes levied in calendar year 2020 only,
real property owned by a person that experienced economic hardship as a result
of the COVID-19 pandemic or the government's response to the pandemic, or both,
or experienced economic hardship as a result of the flooding caused by certain
dam-structure failures that resulted in the state of emergency declared in
Executive Order No. 2020-94 and amended and expanded in Executive Order Nos.
2020-98 and 2020-105. All of the following apply to a deferment of the
collection of summer property taxes under this subdivision:
(i) The local tax collecting unit may develop
criteria, including required documentation, that an applicant must meet to
establish economic hardship under this subdivision, and has the authority to
approve or deny a requested deferment at its discretion.
(ii) A person that files for a deferment
under this subdivision is not prohibited from also appealing the assessment on
the property for which that claim is made before the board of review in the
same year.
(iii) This subdivision does not apply to
either of the following:
(A) Property used for utilities sites as described in section
34c(2)(d)(ii).
(B) Property owned by a person that is a party to an escrow
agreement or other agreement obligating another individual or legal entity to
pay summer property taxes levied in calendar year 2020 on that property.
(3) A taxpayer may claim a deferment provided by under subsection (2) by
filing with the treasurer of the local property tax collecting unit an intent to
defer the summer property taxes that are due and payable in that year without
penalty or interest. Taxes deferred under subsection (2) that are not paid by
the following February 15 are not subject to penalties or interest for the
period of deferment.
(4) The intent statement required by subsection (3) shall must be on a form
prescribed and provided by the department of treasury to the treasurer of the
local property tax
collecting unit.
(5) The treasurer of the local property tax collecting unit that collects a
summer property tax shall do the following:
(a) Cause a notice of the availability of the deferment to be
published in a newspaper of general circulation within the local property tax
collecting unit or to be included as an insertion with the tax bill.
(b) Assist persons in completing the deferment form.
(6) If a local property tax collecting unit that collects a
summer property tax also collects a winter property tax in the same year, a
statement of the amount of taxes deferred pursuant to under subsection (2) shall must be in the December
tax statement mailed by the local property tax collecting unit for each summer
property tax payment that was deferred from collection. If a local property tax
collecting unit that collects a summer property tax does not collect a winter
property tax in the same year, it shall mail a statement of the amount of taxes
deferred under subsection (2) at the same time December tax statements are
required to be mailed under section 44.
(7) Persons eligible for deferment of summer property taxes
under subsection (2) may file their intent to defer until September 15 or the
time the tax would otherwise become subject to interest or a late penalty
charge for late payment, whichever is later.
(8) To the extent permitted by the revised school code, 1976
PA 451, MCL 380.1 to 380.1852, or the charter of a local property tax
collecting unit, a local property
tax collecting unit may provide for the levy and collection of
summer property taxes. The terms and conditions of collection established by or
under an agreement executed pursuant to the revised school code, 1976 PA 451,
MCL 380.1 to 380.1852, or the charter of a local tax collecting unit govern a
summer property tax levy.
(9) As used in this section:
(a) "Principal residence" means property exempt
under section 7cc.
(b) "Summer property tax" means a levy of ad
valorem property taxes that first becomes a lien before December 1 of any
calendar year.