February 17, 2011, Introduced by Reps. McBroom, Huuki, Bumstead, Foster, Wayne Schmidt, Daley, Walsh, Pscholka, Santana, Jacobsen, MacMaster and Potvin and referred to the Committee on Tax Policy.
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 taxable
value 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 18 mills.
(ii) Multiply the product of the calculation under subparagraph
(i) by 7.
(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 taxable
value 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 18 mills.
(ii) Multiply the product of the calculation under subparagraph
(i) by 7.
(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.