HB 5581 Summary

• Amends the General Property Tax Act to add a new exemption from "transfer of ownership" for property transfers to individuals whose principal residence was taken by the state or a political subdivision under eminent domain powers.

• Requires the transferred replacement property to be located in the same local tax collecting unit as the property taken under eminent domain and the transferee must claim it as a principal residence under section 7cc.

• Allows qualified agricultural property owners to file affidavits to have taxable values adjusted retroactively to December 31, 1999 if the property remained qualified agricultural property continuously since that date with no prior transfers or adjustments.

• Establishes that register of deeds must notify assessing officers monthly of property ownership transfers and requires property transferees to notify assessors within 45 days on forms prescribed by the state tax commission.

• Defines key terms including "transfer of ownership," "beneficial use," "additions," "inflation rate," "losses," "qualified agricultural property," and "qualified forest property" for purposes of property tax assessments.