THE GENERAL PROPERTY TAX ACT (EXCERPT)
Act 206 of 1893
211.7u Principal residence of persons in poverty; exemption from taxation; applicability of section to property of corporation; eligibility for exemption; application; policy and guidelines to be used by local assessing unit; duties of board of review; appeal of property assessment; “principal residence” defined.
(1) The principal residence of persons who, in the judgment of the supervisor and board of review, by reason of poverty, are unable to contribute toward the public charges is eligible for exemption in whole or in part from taxation under this act. This section does not apply to the property of a corporation.
(2) To be eligible for exemption under this section, a person shall do all of the following on an annual basis:
(a) Be an owner of and occupy as a principal residence the property for which an exemption is requested.
(b) File a claim with the supervisor or board of review on a form provided by the local assessing unit, accompanied by federal and state income tax returns for all persons residing in the principal residence, including any property tax credit returns, filed in the immediately preceding year or in the current year. Federal and state income tax returns are not required for a person residing in the principal residence if that person was not required to file a federal or state income tax return in the tax year in which the exemption under this section is claimed or in the immediately preceding tax year. If a person was not required to file a federal or state income tax return in the tax year in which the exemption under this section is claimed or in the immediately preceding tax year, an affidavit in a form prescribed by the state tax commission may be accepted in place of the federal or state income tax return. The filing of a claim under this subsection constitutes an appearance before the board of review for the purpose of preserving the claimant's right to appeal the decision of the board of review regarding the claim.
(c) Produce a valid driver's license or other form of identification if requested by the supervisor or board of review.
(d) Produce a deed, land contract, or other evidence of ownership of the property for which an exemption is requested if required by the supervisor or board of review.
(e) Meet the federal poverty guidelines updated annually in the federal register by the United States department of health and human services under authority of section 673 of subtitle B of title VI of the omnibus budget reconciliation act of 1981, Public Law 97-35, 42 USC 9902, or alternative guidelines adopted by the governing body of the local assessing unit provided the alternative guidelines do not provide income eligibility requirements less than the federal guidelines.
(3) The application for an exemption under this section shall be filed after January 1 but before the day prior to the last day of the board of review.
(4) The governing body of the local assessing unit shall determine and make available to the public the policy and guidelines the local assessing unit uses for the granting of exemptions under this section. The guidelines shall include but not be limited to the specific income and asset levels of the claimant and total household income and assets.
(5) The board of review shall follow the policy and guidelines of the local assessing unit in granting or denying an exemption under this section unless the board of review determines there are substantial and compelling reasons why there should be a deviation from the policy and guidelines and the substantial and compelling reasons are communicated in writing to the claimant.
(6) A person who files a claim under this section 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.
(7) As used in this section, "principal residence" means principal residence or qualified agricultural property as those terms are defined in section 7dd.
History: Add. 1980, Act 142, Imd. Eff. June 2, 1980
Am. 1993, Act 313, Eff. Mar. 15, 1994
Am. 1994, Act 390, Imd. Eff. Dec. 29, 1994
Am. 2002, Act 620, Imd. Eff. Dec. 23, 2002
Am. 2003, Act 140, Eff. Jan. 1, 2004
Am. 2012, Act 135, Imd. Eff. May 16, 2012.
Popular Name: Act 206
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