July 27, 2011, Introduced by Rep. Stamas and referred to the Committee on Tax Policy.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 27b (MCL 211.27b), as amended by 1996 PA 476.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 27b. (1) If the buyer, grantee, or other transferee in
the immediately preceding transfer of ownership of property does
not notify the appropriate assessing office as required by section
27a(8)
27a(10), the property's taxable value shall be adjusted
under section 27a(3) and all of the following shall be levied:
(a) Any additional taxes that would have been levied if the
transfer of ownership had been recorded as required under this act
from the date of transfer.
(b) Interest and penalty from the date the tax would have been
originally levied.
(c)
A penalty of $5.00 1% of
the sales price per day for each
separate
failure beginning after the 45
days have elapsed, up to a
maximum
of $200.00 25% of the
sales price.
(2) The appropriate assessing officer shall certify for
collection to the treasurer of the local tax collecting unit if the
local tax collecting unit has possession of the tax roll or the
county treasurer if the county has possession of the tax roll any
additional taxes due under subsection (1)(a) and any penalty due
under subsection (1)(c).
(3) The treasurer of the local tax collecting unit if the
local tax collecting unit has possession of the tax roll or the
county treasurer if the county has possession of the tax roll shall
collect any taxes, interest, and penalty due pursuant to this
section, and shall immediately prepare and submit a corrected tax
bill for any additional taxes due under subsection (1)(a) and any
interest and penalty due under subsection (1)(b). A penalty due
under subsection (1)(c) may be collected with the immediately
succeeding regular tax bill.
(4) Any taxes, interest, and penalty collected pursuant to
subsection (1)(a) and (b) shall be distributed in the same manner
as other delinquent taxes, interest, and penalties are distributed
under this act. Any penalty collected under subsection (1)(c) shall
be distributed to the local tax collecting unit.
(5) The governing body of a local tax collecting unit may
waive, by resolution, the penalty levied under subsection (1)(c).
(6) If the taxable value of property is increased under this
section, the appropriate assessing officer shall immediately notify
by first-class mail the owner of that property of that increase in
taxable value. A buyer, grantee, or other transferee may appeal any
increase in taxable value or the levy of any additional taxes,
interest, and penalties under subsection (1) to the Michigan tax
tribunal within 35 days of receiving the notice of the increase in
the property's taxable value. An appeal under this subsection is
limited to the issues of whether a transfer of ownership has
occurred and correcting arithmetic errors. A dispute regarding the
valuation of the property is not a basis for appeal under this
subsection.
(7) If the taxable value of property is adjusted under
subsection (1), the assessing officer making the adjustment shall
file an affidavit with all officials responsible for determining
assessment figures, rate of taxation, or mathematical calculations
for that property within 30 days of the date the adjustment is
made. The affidavit shall state the amount of the adjustment and
the amount of additional taxes levied. The officials with whom the
affidavit is filed shall correct all official records for which
they are responsible to reflect the adjustment and levy.