May 12, 2009, Introduced by Senator GILBERT and referred to the Committee on Finance.
A bill to amend 1973 PA 186, entitled
"Tax tribunal act,"
by amending sections 31, 32, and 35a (MCL 205.731, 205.732, and
205.735a), as amended by 2008 PA 125.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 31. The tribunal has exclusive and original jurisdiction
over all of the following:
(a) A proceeding for direct review of a final decision,
finding, ruling, determination, or order of an agency relating to
assessment, classification, valuation, rates, special assessments,
allocation, or equalization, under the property tax laws of this
state.
(b) A proceeding for a refund or redetermination of a tax
levied under the property tax laws of this state.
(c) Mediation of a proceeding described in subdivision (a) or
(b) before the tribunal.
(d) Certification of a mediator in a tax dispute described in
subdivision (c).
(e) Any other proceeding provided by law.
Sec. 32. The tribunal's powers include, but are not limited
to, all of the following:
(a) Affirming, reversing, modifying, or remanding a final
decision, finding, ruling, determination, or order of an agency.
(b) Ordering the payment or refund of taxes in a matter over
which it may acquire jurisdiction.
(c) Granting other relief or issuing writs, orders, or
directives that it deems necessary or appropriate in the process of
disposition of a matter over which it may acquire jurisdiction.
(d) Promulgating rules for the implementation of this act,
including rules for practice and procedure before the tribunal and
for mediation as provided in section 47, under the administrative
procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.
(e) Mediating a proceeding before the tribunal.
(f) Certifying mediators to facilitate claims in the court of
claims and in the tribunal.
(g) In an appeal of a final determination of a dispute
regarding the classification of real or personal property under
section 34c(6) of the general property tax act, 1893 PA 206, MCL
211.34c, ordering that the local tax collecting unit in which the
property is located split the property, for tax assessment purposes
only, into 2 or more parcels, each with a separate property tax
identification number and each to be assessed separately, if the
tribunal determines that splitting the property into 2 or more
parcels will more accurately reflect the uses of the parcels with
the resulting classifications.
Sec. 35a. (1) The provisions of this section apply to a
proceeding before the tribunal that is commenced after December 31,
2006.
(2) A proceeding before the tribunal is original and
independent and is considered de novo.
(3) Except as otherwise provided in this section or by law,
for an assessment dispute as to the valuation or exemption of
property, the assessment must be protested before the board of
review before the tribunal acquires jurisdiction of the dispute
under subsection (6).
(4) In the 2007 tax year and each tax year after 2007, all of
the following apply:
(a) For an assessment dispute as to the valuation or exemption
of property classified under section 34c of the general property
tax act, 1893 PA 206, MCL 211.34c, as commercial real property,
industrial real property, or developmental real property, the
assessment may be protested before the board of review or appealed
directly to the tribunal without protest before the board of review
as provided in subsection (6).
(b) For an assessment dispute as to the valuation or exemption
of property classified under section 34c of the general property
tax act, 1893 PA 206, MCL 211.34c, as commercial personal property,
industrial personal property, or utility personal property, the
assessment may be protested before the board of review or appealed
directly to the tribunal without protest before the board of review
as provided in subsection (6), if a statement of assessable
property is filed under section 19 of the general property tax act,
1893 PA 206, MCL 211.19, prior to the commencement of the board of
review for the tax year involved.
(c) For an assessment dispute as to the valuation of property
that is subject to taxation under 1974 PA 198, MCL 207.551 to
207.572, the commercial redevelopment act, 1978 PA 255, MCL 207.651
to 207.668, the enterprise zone act, 1985 PA 224, MCL 125.2101 to
125.2123, the technology park development act, 1984 PA 385, MCL
207.701 to 207.718, the obsolete property rehabilitation act, 2000
PA 146, MCL 125.2781 to 125.2797, the commercial rehabilitation
act, 2005 PA 210, MCL 207.841 to 207.856, or 1953 PA 189, MCL
211.181 to 211.182, the assessment may be protested before the
board of review or appealed directly to the tribunal without
protest before the board of review as provided in subsection (6).
This subdivision does not apply to property that is subject to the
neighborhood enterprise zone act, 1992 PA 147, MCL 207.771 to
207.786.
(5) For a dispute regarding a determination of a claim of
exemption of a principal residence or qualified agricultural
property for a year in which the July or December board of review
has authority to determine a claim of exemption for a principal
residence or qualified agricultural property, the claim of
exemption shall be presented to either the July or December board
of review before the tribunal acquires jurisdiction of the dispute.
For a special assessment dispute, the special assessment shall be
protested at the hearing held for the purpose of confirming the
special assessment roll before the tribunal acquires jurisdiction
of the dispute.
(6) The jurisdiction of the tribunal in an assessment dispute
as to property classified under section 34c of the general property
tax act, 1893 PA 206, MCL 211.34c, as commercial real property,
industrial real property, developmental real property, commercial
personal property, industrial personal property, or utility
personal property is invoked by a party in interest, as petitioner,
filing a written petition on or before May 31 of the tax year
involved. The jurisdiction of the tribunal in an assessment dispute
as to property classified under section 34c of the general property
tax act, 1893 PA 206, MCL 211.34c, as agricultural real property,
residential real property, timber-cutover real property, or
agricultural personal property is invoked by a party in interest,
as petitioner, filing a written petition on or before July 31 of
the tax year involved. In all other matters, the jurisdiction of
the tribunal is invoked by a party in interest, as petitioner,
filing a written petition within 35 days after the final decision,
ruling, or determination. An appeal of a contested tax bill shall
be made within 60 days after mailing by the assessment district
treasurer and the appeal is limited solely to correcting arithmetic
errors or mistakes and is not a basis of appeal as to disputes of
valuation of the property, the property's exempt status, or the
property's equalized value resulting from equalization of its
assessment by the county board of commissioners or the state tax
commission. Service of the petition on the respondent shall be by
certified mail. For an assessment dispute, service of the petition
shall be mailed to the assessor of that local tax collecting unit
if the respondent is the local tax collecting unit. Except for
petitions filed under chapter 6, a copy of the petition shall also
be sent to the secretary of the school board in the local school
district in which the property is located and to the clerk of any
county that may be affected.
(7) For an appeal of a final determination of a dispute
regarding the classification of real or personal property under
section 34c(6) of the general property tax act, 1893 PA 206, MCL
211.34c, the following apply:
(a) The appeal shall be filed not later than 35 days after the
state tax commission renders a final written decision, with a
statement of facts and conclusions of law.
(b) The tribunal may permit or direct that the state tax
commission be made a party in any appeal under this subsection.
(c) The tribunal may make a final decision based on the record
and documents filed in the state tax commission proceeding or, if
there is a good faith dispute concerning facts necessary to make a
final determination, the residential and small claims division may
conduct an evidentiary hearing to resolve that dispute.
(d) The tribunal may order that the local tax collecting unit
in which the property is located split the property, for tax
assessment purposes only, into 2 or more parcels, each with a
separate property tax identification number and each to be assessed
separately, if the tribunal determines that splitting the property
into 2 or more parcels will more accurately reflect the uses of the
parcels with the resulting classifications.
(8) (7)
A petition is considered filed on
or before the
expiration of the time period provided in this section or by law if
1 or more of the following occur:
(a) The petition is postmarked by the United States postal
service on or before the expiration of that time period.
(b) The petition is delivered in person on or before the
expiration of that time period.
(c) The petition is given to a designated delivery service for
delivery on or before the expiration of that time period and the
petition is delivered by that designated delivery service or, if
the petition is not delivered by that designated delivery service,
the petitioner establishes that the petition was given to that
designated delivery service for delivery on or before the
expiration of that time period.
(9) (8)
A petition required to be filed by
a day during which
the offices of the tribunal are not open for business shall be
filed by the next business day.
(10) (9)
A petition or answer may be amended
at any time by
leave of the tribunal and in compliance with its rules. If a tax
was paid while the determination of the right to the tax is pending
before the tribunal, the taxpayer may amend his or her petition to
seek a refund of that tax.
(11) (10)
A person or legal entity may appear
before the
tribunal in his or her own behalf or may be represented by an
attorney or by any other person.
(12) (11)
As used in this section,
"designated delivery
service" means a delivery service provided by a trade or business
that is designated by the tribunal for purposes of this subsection.
The tribunal shall issue a tribunal notice not later than December
31 in each calendar year designating not less than 1 delivery
service for the immediately succeeding calendar year. The tribunal
may designate a delivery service only if the tribunal determines
that the delivery service meets all of the following requirements:
(a) Is available to the general public.
(b) Is at least as timely and reliable on a regular basis as
the United States postal service.
(c) Records electronically to a database kept in the regular
course of business or marks on the petition the date on which the
petition was given to the delivery service for delivery.
(d) Any other requirement the tribunal prescribes.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. 561
of the 95th Legislature is enacted into law.