MI HB5182

Local tax collecting units may adopt a resolution before December 31, 2014, to exempt eligible nonprofit housing property from tax collection, effective the following December 31 or upon issuance of a building permit, whichever is later.

The local resolution exemption continues for 2 years, until the property is occupied by a low-income person under a lease, or until ownership transfers, whichever occurs first.

Beginning December 31, 2014, charitable nonprofit housing organizations may apply directly to the state tax commission for tax exemptions, with approval or denial within 60 days.

State-granted exemptions last up to 5 years for residential building lots or 3 years for other eligible properties, ending when the property is occupied by a low-income person or transferred, whichever is earlier.

Eligible nonprofit housing property includes residential building lots, single-family dwellings, duplexes, and multiunit buildings with no more than 4 units owned by charitable nonprofits intending to transfer to low-income persons earning no more than 80% of statewide median gross income.