MI HB5186

Creates the "Disabled Veteran's Homestead Tax Relief Act" establishing an exemption from ad valorem property taxes for eligible disabled veterans and eligible surviving spouses of disabled veterans on their principal residences, effective for taxes levied after December 31, 2017.

Defines "eligible disabled veteran" as a Michigan resident honorably discharged from the U.S. Armed Forces who is either permanently disabled (50%+ rating), receiving specially adapted housing assistance, or rated as individually unemployable by the Department of Veterans Affairs.

Levies an annual "disabled veteran's homestead specific tax" on qualifying homesteads calculated by applying applicable mill rates to the property's taxable value, then discounting by either 100% or the individual's disability rating percentage depending on qualification criteria.

Requires local assessors to annually determine property values and taxable values for qualifying homesteads as of December 31, with collecting officers disbursing the specific tax revenues to state and local taxing units in the same proportions as general property taxes.

Makes unpaid disabled veteran's homestead specific taxes subject to forfeiture, foreclosure, and sale under the same procedures as delinquent property taxes; bill takes effect only upon enactment of HB 5187.