HB 4799: Property tax: payment and collection; effect of a postmark date when determining date property taxes are paid and other communications and notifications are provided; clarify. Amends sec. 44b of 1893 PA 206 (MCL 211.44b). - Michigan

Substitute (H-4) → Substitute (H-3) - 2 · 3 edits

MINOR

The bill was revised to expand how the state determines when a tax payment is officially received. The changes clarify that payments made via electronic communication or notifications are now treated as received on the date of submission, in addition to traditional mail and postmark dates. This update also broadens the types of taxes covered to include nondelinquent amounts and adds specific language to exclude certain modern payment methods like peer-to-peer apps.

Scope change

The bill's scope was expanded to explicitly include 'nondelinquent' property taxes and to recognize electronic communications as valid proof of payment timing.

REQUIREMENT

The definition of 'receipt' was updated to include the date of electronic submission for authorized electronic payments or communications, ensuring these are treated the same as mailed payments.

The definition of authorized electronic payment was refined to explicitly exclude external banking applications, peer-to-peer platforms, and unverified payment intermediaries.

SCOPE

The section applying to tax payments was broadened to cover 'nondelinquent' property taxes and assessments, whereas the previous version had a more specific limitation regarding delinquency status.

Substitute (H-3) → Substitute (H-4) · 4 edits

MODERATE

The bill was revised to clarify that tax payments are considered received on the date of the postmark, provided the payment is made at least five days before the due date and the taxpayer can prove the postmark's validity. Additionally, the definition of 'due date' was added to ensure consistency, and the scope of the section was adjusted to apply to property taxes before they are officially returned as delinquent.

Scope change

The scope was expanded to explicitly include payments made prior to the sale of property under section 60, provided they meet the new five-day postmark requirement.

REQUIREMENT

Added a specific requirement that postmark dates must be at least five days prior to the applicable due date for the postmark to be accepted as the date of receipt.

DEFINITION

Added a new definition for 'due date' to specify it is the last day to pay without interest or penalty.

ELIGIBILITY

Modified the applicability of the section to cover property taxes before they are returned as delinquent to the county treasurer.

TECHNICAL

Removed references to 'nondelinquent' property taxes and related fees, replacing them with a broader condition based on delinquency status.

House Introduced Bill → Substitute (H-3) · 4 edits

MODERATE

This bill was amended to clarify and expand the rules for when property tax payments are considered 'received.' The changes add specific conditions for using postmark dates, define what counts as an authorized electronic payment, and establish a 5-day buffer period for postmarked payments to be valid before the official due date.

Scope change

The bill's scope was expanded to explicitly include electronic payments and communications, whereas the original version only mentioned postal services and common carriers.

REQUIREMENT

Added a new requirement that postmarked payments are only valid if the postmark is at least 5 days before the due date and the taxpayer provides documentation proving the postmark's validity.

DEFINITION

Defined 'authorized electronic payment' to include ACH, debit, and credit card transactions on approved platforms, while explicitly excluding peer-to-peer apps and unverified intermediaries.

TIMELINE

Added a new provision stating that if a postmark date is later than the initial window but not past the due date, it may still be considered the date of receipt.

ELIGIBILITY

Modified the eligibility criteria for postmark acceptance by adding the 5-day advance notice rule and the documentation requirement, making the process stricter than the original text.

Property tax: payment and collection; effect of a postmark date when determining date property taxes are paid and other communications and notifications are provided; clarify. Amends sec. 44b of 1893 PA 206 (MCL 211.44b).

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