HOUSE BILL No. 6155

 

June 7, 2006, Introduced by Reps. Condino, Waters, Adamini, Acciavatti, Hunter, Farrah, Dillon, Miller, Polidori, Sak, Lemmons, Jr., Gonzales, Leland and Lemmons, III and referred to the Committee on Tax Policy.

 

     A bill to amend 1993 PA 330, entitled

 

"State real estate transfer tax act,"

 

by amending sections 5 and 11 (MCL 207.525 and 207.531), section 5

 

as amended by 1994 PA 224.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5. (1) Beginning on January 1, 1995, except as otherwise

 

provided in this section, the tax imposed under sections 3 and 4 is

 

levied at the rate of $3.75 for each $500.00 or fraction of $500.00

 

of the total value of the property being transferred.

 

     (2) Beginning May 1, 2006 through December 31, 2007 only, the

 

tax imposed under sections 3 and 4 on property transferred for

 

which a principal residence exemption is claimed under section 7cc

 

of the general property tax act, 1893 PA 206, MCL 211.7cc, is

 

levied at the rate of $4.25 for each $500.00 or fraction of $500.00

 


of the total value of the property being transferred.

 

     (3)  (2)  A written instrument subject to the tax imposed by

 

this act shall state on its face the total value of the real

 

property being transferred unless an affidavit is attached to the

 

written instrument declaring the total value of the real property

 

being transferred. The form of the affidavit shall be prescribed by

 

the department of treasury. If the sale or transfer is of a

 

combination of real and personal property, the tax shall be imposed

 

only upon the transfer of the real property if the values of the

 

real and personal property are stated separately on the face of the

 

written instrument or if an affidavit is attached to the written

 

instrument setting forth the respective values of the real and

 

personal property.

 

     Sec. 11. (1)  The  Except as otherwise provided in subsection

 

(2), the treasurer shall credit the proceeds of the tax collected

 

by county treasurers under this act to the state treasury to the

 

credit of the state school aid fund established in section 11 of

 

article IX of the state constitution of 1963.

 

     (2) Beginning May 1, 2006 through December 31, 2007, the

 

treasurer shall credit 50 cents of the proceeds of the tax levied

 

at the rate of $4.25 for each $500.00 or fraction of $500.00 under

 

section 5(2) to the general fund of the local tax collecting unit

 

from which the excess proceeds were collected.