HOUSE BILL No. 5569

 

November 3, 2009, Introduced by Reps. Kowall, Opsommer, Paul Scott, Rick Jones, Haines, Tyler, Lund, Knollenberg, Ball, Calley, Proos and Mayes and referred to the Committee on Tax Policy.

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

(MCL 211.1 to 211.155) by adding section 7oo.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7oo. (1) Except as otherwise limited in subsection (2),

 

beginning on the December 31 in the year in which the amendatory

 

act that added this section takes effect through December 30 in the

 

second immediately succeeding year, new construction and

 

replacement construction on eligible property are exempt from the

 

collection of taxes under this act.

 

     (2) The exemption under subsection (1) shall not exceed

 

$100,000.00 in taxable value for each parcel of eligible property.

 

     (3) If new construction and replacement construction are 75%

 


or more complete on December 30 in the second immediately

 

succeeding year after the amendatory act that added this section

 

takes effect, the remaining new construction and replacement

 

construction shall be exempt under this section.

 

     (4) New construction and replacement construction exempt under

 

subsection (1) shall not be included in the assessment of the

 

eligible property until a transfer of ownership of the eligible

 

property results in an adjustment of the eligible property's

 

taxable value under section 27a(3).

 

     (5) As used in this section:

 

     (a) "Eligible property" means real property classified under

 

section 34c as industrial real property or residential real

 

property on which is located 1 or more structures for which a

 

certificate of occupancy has been issued on or before the effective

 

date of the amendatory act that added this section.

 

     (b) "New construction" and "replacement construction" mean

 

those terms as defined in section 34d.