Michigan 2023-2024 Regular Session

Michigan House Bill HB4307

Introduced
3/21/23  

Caption

Property tax: assessments; determination of true cash value; modify. Amends sec. 27 of 1893 PA 206 (MCL 211.27). TIE BAR WITH: HB 4306'23

Impact

In its provisions, the bill critically emphasizes that assessors must disregard increases in value resulting from normal maintenance or repairs when determining property assessments until the property is sold. This could lead to a more stable property tax environment, as homeowners will not face immediate tax increases tied to the routine upkeep or improvements made to their properties. Furthermore, the bill directly addresses how assessors are to consider various aspects of the property, including its location and economic income, ensuring a comprehensive approach to property valuation across the state.

Summary

House Bill 4307 aims to amend the General Property Tax Act of 1893 by specifically modifying the definition of 'true cash value' for property assessments. The bill establishes that the true cash value reflects the usual selling price for a property at the time of assessment, while excluding certain types of sales such as forced sales or auctions related to liquidation. This provision intends to provide a more accurate market valuation that aligns with typical private sale prices, potentially benefitting both homeowners and assessors in fair property valuation.

Contention

Some potential points of contention surrounding HB 4307 may revolve around its implications for nonprofit housing organizations. The bill includes provisions regarding eligible nonprofit housing properties and their transfers to low-income individuals. Advocates for affordable housing may question whether these modifications support or hinder access to low-income housing as assessors will have to ensure accurate assessments for properties intended for sale to qualifying low-income individuals. The balancing act of enhancing tax accuracy while maintaining supportive measures for affordable housing will be a critical discussion point as the bill moves forward.

Companion Bills

MI HB4306

Same As Property tax: assessments; determination of taxable value; modify. Amends sec. 27a of 1893 PA 206 (MCL 211.27a).

Similar Bills

MI SB1125

Property tax: assessments; the effect of certain limitations on the use of property, such as a restriction or easement in a deed, will, or other instrument; clarify relevance when assessing true cash value. Amends sec. 27 of 1893 PA 206 (MCL 211.27).

MI HB5865

Property tax: assessments; sales of certain deed-restricted properties; prohibit the use of as comparable sales for assessment purposes in certain circumstances. Amends sec. 27 of 1893 PA 206 (MCL 211.27).

MI HB4708

Property tax: exemptions; electric vehicle charging stations; exempt. Amends secs. 27 & 34d of 1893 PA 206 (MCL 211.27 & 211.34d) & adds sec. 7yy.

MI HB5744

Property tax: exemptions; personal property constituting certain hydrogen fuel pumps; exempt. Amends secs. 27 & 34d of 1893 PA 206 (MCL 211.27 & 211.34d) & adds sec. 9q.

MI HB4111

Property tax: exemptions; personal property constituting certain hydrogen fuel pumps; exempt. Amends secs. 27 & 34d of 1893 PA 206 (MCL 211.27 & 211.34d) & adds sec. 9q. TIE BAR WITH: HB 4112'25

AZ SB1230

Tax exemptions; affidavit

MA H2866

Relative to the classification and taxation of urban public access land

MA H3161

Relative to the classification and taxation of urban public access land