HB 4079 adjusts the income limit for homeowners aged 65 or older, or those totally and permanently disabled, who qualify for a property tax deferment on special assessments. Currently set at $34,900 as of October 2022, the bill replaces this fixed amount with an annual adjustment based on the Detroit-area Consumer Price Index (CPI), meaning the limit will rise or fall each year with local inflation. The state treasurer will calculate the new limit annually using the prior year's CPI data, rounding to the nearest dollar. This change directly affects eligible homeowners seeking to defer special assessments on their primary residences without immediate payment.
SB 442 creates a new state-level process for charitable nonprofit housing organizations to obtain property tax exemptions on specific residential properties (like single-family homes, duplexes, or small multi-unit buildings). Organizations must apply to the state tax commission, which has 60 days to approve or deny the exemption. If approved, the exemption lasts 3-5 years (depending on property type) or ends sooner if the property is occupied by an income-eligible person (family income ≤120% of statewide median) or transferred. The bill modifies existing rules to shift from local resolution-based exemptions to a centralized state application system.
HB 4543 changes how Michigan's home heating credit is adjusted annually. It replaces the use of the national U.S. Consumer Price Index (CPI) with the Detroit Consumer Price Index to calculate annual credit adjustments. This means the credit amount for eligible households will now reflect local cost-of-living changes in Detroit instead of national averages. The bill directly affects low-to-moderate income Michigan residents who claim the home heating credit on their state tax returns.
SB 484 creates a 5-year property tax exemption for real estate sold or conveyed by land banks or local governments after tax delinquency. This applies to properties sold under the Land Bank Fast Track Act or Tax Reverted Clean Title Act, beginning the year after sale and lasting through the fifth December 31. The exemption does not apply to properties in brownfield redevelopment plans if specific conditions are met (e.g., land bank bonds or brownfield plan details). Properties under this exemption remain subject to the tax levied under the Tax Reverted Clean Title Act.
HB 4041 would automatically renew property tax exemptions for eligible homeowners who previously qualified under the poverty exemption program, eliminating the need for them to reapply annually. It directly affects low-income homeowners in Michigan who have already established eligibility for the exemption under current law. The bill amends Michigan law to require automatic continuation of this exemption in specified circumstances, reducing administrative burdens for qualifying residents. This change streamlines the process by removing annual application requirements for those already verified as eligible.
SB 633 eliminates Michigan's state historic preservation tax credit program, which previously allowed property owners to claim a 25% tax credit for qualified rehabilitation expenses on historic buildings. The bill directly affects developers and property owners who relied on this credit for restoring historic resources, removing their eligibility for tax benefits under this program. Key provisions include repealing sections of the Income Tax Act that governed the credit's application process, annual funding limits ($5 million total), and requirements for certification of historic rehabilitation projects. This change would end the state's financial incentive for historic preservation projects that currently qualify under this credit.
HB 5272 proposes to create a new property tax credit for disabled veterans and surviving spouses (widows/widowers) of disabled veterans who rent or lease a home in Michigan. It amends Michigan’s income tax law to add this credit and specifically exclude it from the state’s income tax cap. This would directly benefit qualifying renters who are disabled veterans or surviving spouses, providing them with a tax reduction they currently cannot access under existing rules. The bill does not change other tax credits or the overall tax structure.
SB 423 ends specific programs that helped homeowners pay overdue property taxes and avoid foreclosure. It directly affects property owners with delinquent taxes who previously could use these reduced payment options. The bill modifies existing law by setting expiration dates ("sunsetting") for these programs, meaning they will no longer be available after the specified dates. This change removes temporary relief measures, requiring affected homeowners to pay full delinquent taxes or face standard foreclosure processes.
