June 24, 2010, Introduced by Reps. Sheltrown, Booher, Green, Caul, Ball, Hansen, Lemmons, LeBlanc, Neumann, Wayne Schmidt and Pearce and referred to the Committee on Tourism, Outdoor Recreation and Natural Resources.
A bill to amend 2006 PA 379, entitled
"Qualified forest property recapture tax act,"
by amending section 4 (MCL 211.1034).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. The recapture tax under this act shall be imposed at
the following rate:
(a) If the property is converted by a change in use and there
have not been 1 or more harvests of forest products on that
property consistent with the approved forest management plan, the
recapture tax shall be calculated in the following manner:
(i) Multiply the property's state equalized valuation at the
time
the property is converted by a change in use by the total
millage
rate levied by all taxing units in the local tax collecting
unit
in which the property is located number
of mills for which the
property is exempt under section 1211 of the revised school code,
1976 PA 451, MCL 380.1211.
(ii) Multiply the product of the calculation under subparagraph
(i) by 7 or the number of years that the property was exempt under
section 7jj of the general property tax act, 1893 PA 206, MCL
211.7jj[1], whichever is less.
(iii) Multiply the product of the calculation under subparagraph
(ii) by 2.
(b) If the property is converted by a change in use and there
have been 1 or more harvests of forest products on that property
consistent with the approved forest management plan, the recapture
tax shall be calculated in the following manner:
(i) Multiply the property's state equalized valuation at the
time
the property is converted by a change in use by the total
millage
rate levied by all taxing units in the local tax collecting
unit
in which the property is located number
of mills for which the
property is exempt under section 1211 of the revised school code,
1976 PA 451, MCL 380.1211.
(ii) Multiply the product of the calculation under subparagraph
(i) by 7 or the number of years that the property was exempt under
section 7jj of the general property tax act, 1893 PA 206, MCL
211.7jj[1], whichever is less.
(c) In addition to the recapture tax calculated under
subdivision (a) or (b), if property is converted by a change in use
and the taxable value of the property was not adjusted under
section 27a(3) of the general property tax act, 1893 PA 206, MCL
211.27a, after a transfer of ownership of the property due to the
provisions of section 27a(7)(o) of the general property tax act,
1893 PA 206, MCL 211.27a, the recapture tax shall include the
benefit received on that property.