MI HB4966

Establishes the "Land Tax Equity Act" allowing qualified cities and local units of government to authorize and levy a land value tax on land only, replacing certain ad valorem property taxes on combined land and improvements.

Requires voter approval through referendum and designates a portion of the city's authorized ad valorem millage as "qualified taxes" that are exempted from collection and converted to an equivalent land tax rate on land value.

Provides for assessment, collection, and disbursement of land value taxes using existing property tax administration procedures, with disbursements made proportionally to taxing units levying qualified taxes.

Allows qualified cities (but not local units of government) to adopt optional credit systems against land value taxes, including credits for properties with high land-to-total value ratios, homesteads, and businesses with required parking areas.

Exempts eligible agricultural property (up to 15 acres) and publicly dedicated property (up to 5 acres) from land value tax if owners apply and meet specified criteria including development rights agreements for public land.