MI HB5642

Prohibits calculation of interest on denied principal residence property tax exemption claims during the period when an appeal is filed with the Department of Treasury until the Department makes a determination on that appeal.

Interest accrual resumes 60 days after a corrected or supplemental tax bill is issued, at the rate of 1.25% per month or fraction thereof.

Applies to exemption denials by local assessors, the Department of Treasury, or county officials under the principal residence exemption provisions of Michigan's general property tax act.

Maintains existing penalties and interest calculations for other time periods, only suspending interest during the active appeal process before Department of Treasury determination.