September 28, 2004, Introduced by Senator BIRKHOLZ and referred to the Committee on Commerce and Labor.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 7cc (MCL 211.7cc), as amended by 2003 PA
247.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 7cc. (1) A principal residence is exempt from the tax
2 levied by a local school district for school operating purposes
3 to the extent provided under section 1211 of the revised school
4 code, 1976 PA 451, MCL 380.1211, if an owner of that principal
5 residence claims an exemption as provided in this section.
6 Notwithstanding the tax day provided in section 2, the status of
7 property as a principal residence shall be determined on the date
8 an affidavit claiming an exemption is filed under subsection
9 (2).
10 (2) An owner of property may claim an exemption under this
1 section by filing an affidavit on or before May 1 with the local
2 tax collecting unit in which the property is located. The
3 affidavit shall state that the property is owned and occupied as
4 a principal residence by that owner of the property on the date
5 that the affidavit is signed. The affidavit shall be on a form
6 prescribed by the department of treasury. One copy of the
7 affidavit shall be retained by the owner, 1 copy shall be
8 retained by the local tax collecting unit until any appeal or
9 audit period under this act has expired, and 1 copy shall be
10 forwarded to the department of treasury pursuant to subsection
11 (4), together with all information submitted under subsection
12 (26) for a cooperative housing corporation. The affidavit shall
13 require the owner claiming the exemption to indicate if that
14 owner or that owner's spouse has claimed another exemption on
15 property in this state that is not rescinded or a substantially
16 similar exemption, deduction, or credit on property in another
17 state that is not rescinded. If the affidavit requires an owner
18 to include a social security number, that owner's number is
19 subject to the disclosure restrictions in 1941 PA 122, MCL 205.1
20 to 205.31. If an owner of property filed an affidavit for an
21 exemption under this section before January 1, 2004, that
22 affidavit shall be considered the affidavit required under this
23 subsection for a principal residence exemption and that exemption
24 shall remain in effect until rescinded as provided in this
25 section.
26 (3) A husband and wife who are required to file or who do
27 file a joint Michigan income tax return are entitled to not more
1 than 1 exemption under this section. For taxes levied after
2 December 31, 2002, a person is not entitled to an exemption under
3 this section if any of the following conditions occur:
4 (a) That person has claimed a substantially similar
5 exemption, deduction, or credit on property in another state that
6 is not rescinded.
7 (b) Subject to subdivision (a), that person or his or her
8 spouse owns property in a state other than this state for which
9 that person or his or her spouse claims an exemption, deduction,
10 or credit substantially similar to the exemption provided under
11 this section, unless that person and his or her spouse file
12 separate income tax returns.
13 (c) That person has filed a nonresident Michigan income tax
14 return, except active duty military personnel stationed in this
15 state with his or her principal residence in this state.
16 (d) That person has filed an income tax return in a state
17 other than this state as a resident, except active duty military
18 personnel stationed in this state with his or her principal
19 residence in this state.
20 (e) That person has previously rescinded an exemption under
21 this section for the same property for which an exemption is now
22 claimed and there has not been a transfer of ownership of that
23 property after the previous exemption was rescinded, if either of
24 the following conditions is satisfied:
25 (i) That person has claimed an exemption under this section
26 for any other property for that tax year.
27 (ii) That person has rescinded an exemption under this
1 section on other property, which exemption remains in effect for
2 that tax year, and there has not been a transfer of ownership of
3 that property.
4 (4) Upon receipt of an affidavit filed under subsection (2)
5 and unless the claim is denied under this section, the assessor
6 shall exempt the property from the collection of the tax levied
7 by a local school district for school operating purposes to the
8 extent provided under section 1211 of the revised school code,
9 1976 PA 451, MCL 380.1211, as provided in subsection (1) until
10 December 31 of the year in which the property is transferred or
11 is no longer a principal residence as defined in section 7dd.
12 The local tax collecting unit shall forward copies of affidavits
13 to the department of treasury according to a schedule prescribed
14 by the department of treasury.
15 (5) Not more than 90 days after exempted property is no
16 longer used as a principal residence by the owner claiming an
17 exemption, that owner shall rescind the claim of exemption by
18 filing with the local tax collecting unit a rescission form
19 prescribed by the department of treasury. An owner who fails to
20 file a rescission as required by this subsection is subject to a
21 penalty of $5.00 per day for each separate failure beginning
22 after the 90 days have elapsed, up to a maximum of $200.00. This
23 penalty shall be collected under 1941 PA 122, MCL 205.1 to
24 205.31, and shall be deposited in the state school aid fund
25 established in section 11 of article IX of the state constitution
26 of 1963. This penalty may be waived by the department of
27 treasury.
1 (6) If the assessor of the local tax collecting unit believes
2 that the property for which an exemption is claimed is not the
3 principal residence of the owner claiming the exemption, the
4 assessor may deny a new or existing claim by notifying the owner
5 and the department of treasury in writing of the reason for the
6 denial and advising the owner that the denial may be appealed to
7 the residential and small claims division of the Michigan tax
8 tribunal within 35 days after the date of the notice. The
9 assessor may deny a claim for exemption for the current year and
10 for the 3 immediately preceding calendar years. If the assessor
11 denies an existing claim for exemption, the assessor shall remove
12 the exemption of the property and, if the tax roll is in the
13 local tax collecting unit's possession, amend the tax roll to
14 reflect the denial and the local treasurer shall within 30 days
15 of the date of the denial issue a corrected tax bill for any
16 additional taxes with interest at the rate of 1.25% per month or
17 fraction of a month and penalties computed from the date the
18 taxes were last payable without interest or penalty. If the tax
19 roll is in the county treasurer's possession, the tax roll shall
20 be amended to reflect the denial and the county treasurer shall
21 within 30 days of the date of the denial prepare and submit a
22 supplemental tax bill for any additional taxes, together with
23 interest at the rate of 1.25% per month or fraction of a month
24 and penalties computed from the date the taxes were last payable
25 without interest or penalty. Interest on any tax set forth in a
26 corrected or supplemental tax bill shall again begin to accrue 60
27 days after the date the corrected or supplemental tax bill is
1 issued at the rate of 1.25% per month or fraction of a month.
2 Taxes levied in a corrected or supplemental tax bill shall be
3 returned as delinquent on the March 1 in the year immediately
4 succeeding the year in which the corrected or supplemental tax
5 bill is issued. If the assessor denies an existing claim for
6 exemption, the interest due shall be distributed as provided in
7 subsection (23). However, if the property has been transferred
8 to a bona fide purchaser before additional taxes were billed to
9 the seller as a result of the denial of a claim for exemption,
10 the taxes, interest, and penalties shall not be a lien on the
11 property and shall not be billed to the bona fide purchaser, and
12 the local tax collecting unit if the local tax collecting unit
13 has possession of the tax roll or the county treasurer if the
14 county has possession of the tax roll shall notify the department
15 of treasury of the amount of tax due, interest, and penalties
16 through the date of that notification. The department of
17 treasury shall then assess the owner who claimed the exemption
18 under this section for the tax, interest, and penalties accruing
19 as a result of the denial of the claim for exemption, if any, as
20 for unpaid taxes provided under 1941 PA 122, MCL 205.1 to 205.31,
21 and shall deposit any tax or penalty collected into the state
22 school aid fund and shall distribute any interest collected as
23 provided in subsection (23). The denial shall be made on a form
24 prescribed by the department of treasury. If the property for
25 which the assessor has denied a claim for exemption under this
26 subsection is located in a county in which the county treasurer
27 or the county equalization director have elected to audit
1 exemptions under subsection (10), the assessor shall notify the
2 county treasurer or the county equalization director of the
3 denial under this subsection.
4 (7) If the assessor of the local tax collecting unit believes
5 that the property for which the exemption is claimed is not the
6 principal residence of the owner claiming the exemption and has
7 not denied the claim, the assessor shall include a recommendation
8 for denial with any affidavit that is forwarded to the department
9 of treasury or, for an existing claim, shall send a
10 recommendation for denial to the department of treasury, stating
11 the reasons for the recommendation.
12 (8) The department of treasury shall determine if the
13 property is the principal residence of the owner claiming the
14 exemption. The department of treasury may review the validity of
15 exemptions for the current calendar year and for the 3
16 immediately preceding calendar years. If the department of
17 treasury determines that the property is not the principal
18 residence of the owner claiming the exemption, the department
19 shall send a notice of that determination to the local tax
20 collecting unit and to the owner of the property claiming the
21 exemption, indicating that the claim for exemption is denied,
22 stating the reason for the denial, and advising the owner
23 claiming the exemption of the right to appeal the determination
24 to the department of treasury and what those rights of appeal
25 are. The department of treasury may issue a notice denying a
26 claim if an owner fails to respond within 30 days of receipt of a
27 request for information from that department. An owner may
1 appeal the denial of a claim of exemption to the department of
2 treasury within 35 days of receipt of the notice of denial. An
3 appeal to the department of treasury shall be conducted according
4 to the provisions for an informal conference in section 21 of
5 1941 PA 122, MCL 205.21. Within 10 days after acknowledging an
6 appeal of a denial of a claim of exemption, the department of
7 treasury shall notify the assessor and the treasurer for the
8 county in which the property is located that an appeal has been
9 filed. Upon receipt of a notice that the department of treasury
10 has denied a claim for exemption, the assessor shall remove the
11 exemption of the property and, if the tax roll is in the local
12 tax collecting unit's possession, amend the tax roll to reflect
13 the denial and the local treasurer shall within 30 days of the
14 date of the denial issue a corrected tax bill for any additional
15 taxes with interest at the rate of 1.25% per month or fraction of
16 a month and penalties computed from the date the taxes were last
17 payable without interest and penalty. If the tax roll is in the
18 county treasurer's possession, the tax roll shall be amended to
19 reflect the denial and the county treasurer shall within 30 days
20 of the date of the denial prepare and submit a supplemental tax
21 bill for any additional taxes, together with interest at the rate
22 of 1.25% per month or fraction of a month and penalties computed
23 from the date the taxes were last payable without interest or
24 penalty. Interest on any tax set forth in a corrected or
25 supplemental tax bill shall again begin to accrue 60 days after
26 the date the corrected or supplemental tax bill is issued at the
27 rate of 1.25% per month or fraction of a month. Taxes levied in
1 a corrected or supplemental tax bill shall be returned as
2 delinquent on the March 1 in the year immediately succeeding the
3 year in which the corrected or supplemental tax bill is issued.
4 If the department of treasury denies an existing claim for
5 exemption, the interest due shall be distributed as provided in
6 subsection (23). However, if the property has been transferred
7 to a bona fide purchaser before additional taxes were billed to
8 the seller as a result of the denial of a claim for exemption,
9 the taxes, interest, and penalties shall not be a lien on the
10 property and shall not be billed to the bona fide purchaser, and
11 the local tax collecting unit if the local tax collecting unit
12 has possession of the tax roll or the county treasurer if the
13 county has possession of the tax roll shall notify the department
14 of treasury of the amount of tax due and interest through the
15 date of that notification. The department of treasury shall then
16 assess the owner who claimed the exemption under this section for
17 the tax and interest plus penalty accruing as a result of the
18 denial of the claim for exemption, if any, as for unpaid taxes
19 provided under 1941 PA 122, MCL 205.1 to 205.31, and shall
20 deposit any tax or penalty collected into the state school aid
21 fund and shall distribute any interest collected as provided in
22 subsection (23).
23 (9) The department of treasury may enter into an agreement
24 regarding the implementation or administration of subsection (8)
25 with the assessor of any local tax collecting unit in a county
26 that has not elected to audit exemptions claimed under this
27 section as provided in subsection (10). The agreement may
1 specify that for a period of time, not to exceed 120 days, the
2 department of treasury will not deny an exemption identified by
3 the department of treasury in the list provided under subsection
4 (11).
5 (10) A county may elect to audit the exemptions claimed under
6 this section in all local tax collecting units located in that
7 county as provided in this subsection. The election to audit
8 exemptions shall be made by the county treasurer, or by the
9 county equalization director with the concurrence by resolution
10 of the county board of commissioners. The initial election to
11 audit exemptions shall require an audit period of 2 years.
12 Subsequent elections to audit exemptions shall be made every 2
13 years and shall require 2 annual audit periods. An election to
14 audit exemptions shall be made by submitting an election to audit
15 form to the assessor of each local tax collecting unit in that
16 county and to the department of treasury not later than October 1
17 in the year in which an election to audit is made. The election
18 to audit form required under this subsection shall be in a form
19 prescribed by the department of treasury. If a county elects to
20 audit the exemptions claimed under this section, the department
21 of treasury may continue to review the validity of exemptions as
22 provided in subsection (8). If a county does not elect to audit
23 the exemptions claimed under this section as provided in this
24 subsection, the department of treasury shall conduct an audit of
25 exemptions claimed under this section in the initial 2-year audit
26 period for each local tax collecting unit in that county unless
27 the department of treasury has entered into an agreement with the
1 assessor for that local tax collecting unit under subsection
2 (9).
3 (11) If a county elects to audit the exemptions claimed under
4 this section as provided in subsection (10) and the county
5 treasurer or his or her designee or the county equalization
6 director or his or her designee believes that the property for
7 which an exemption is claimed is not the principal residence of
8 the owner claiming the exemption, the county treasurer or his or
9 her designee or the county equalization director or his or her
10 designee may deny an existing claim by notifying the owner, the
11 assessor of the local tax collecting unit, and the department of
12 treasury in writing of the reason for the denial and advising the
13 owner that the denial may be appealed to the residential and
14 small claims division of the Michigan tax tribunal within 35 days
15 after the date of the notice. The county treasurer or his or her
16 designee or the county equalization director or his or her
17 designee may deny a claim for exemption for the current year and
18 for the 3 immediately preceding calendar years. If the county
19 treasurer or his or her designee or the county equalization
20 director or his or her designee denies an existing claim for
21 exemption, the county treasurer or his or her designee or the
22 county equalization director or his or her designee shall direct
23 the assessor of the local tax collecting unit in which the
24 property is located to remove the exemption of the property from
25 the assessment roll and, if the tax roll is in the local tax
26 collecting unit's possession, direct the assessor of the local
27 tax collecting unit to amend the tax roll to reflect the denial
1 and the treasurer of the local tax collecting unit shall within
2 30 days of the date of the denial issue a corrected tax bill for
3 any additional taxes with interest at the rate of 1.25% per month
4 or fraction of a month and penalties computed from the date the
5 taxes were last payable without interest and penalty. If the tax
6 roll is in the county treasurer's possession, the tax roll shall
7 be amended to reflect the denial and the county treasurer shall
8 within 30 days of the date of the denial prepare and submit a
9 supplemental tax bill for any additional taxes, together with
10 interest at the rate of 1.25% per month or fraction of a month
11 and penalties computed from the date the taxes were last payable
12 without interest or penalty. Interest on any tax set forth in a
13 corrected or supplemental tax bill shall again begin to accrue 60
14 days after the date the corrected or supplemental tax bill is
15 issued at the rate of 1.25% per month or fraction of a month.
16 Taxes levied in a corrected or supplemental tax bill shall be
17 returned as delinquent on the March 1 in the year immediately
18 succeeding the year in which the corrected or supplemental tax
19 bill is issued. If the county treasurer or his or her designee
20 or the county equalization director or his or her designee denies
21 an existing claim for exemption, the interest due shall be
22 distributed as provided in subsection (23). However, if the
23 property has been transferred to a bona fide purchaser before
24 additional taxes were billed to the seller as a result of the
25 denial of a claim for exemption, the taxes, interest, and
26 penalties shall not be a lien on the property and shall not be
27 billed to the bona fide purchaser, and the local tax collecting
1 unit if the local tax collecting unit has possession of the tax
2 roll or the county treasurer if the county has possession of the
3 tax roll shall notify the department of treasury of the amount of
4 tax due and interest through the date of that notification. The
5 department of treasury shall then assess the owner who claimed
6 the exemption under this section for the tax and interest plus
7 penalty accruing as a result of the denial of the claim for
8 exemption, if any, as for unpaid taxes provided under 1941 PA
9 122, MCL 205.1 to 205.31, and shall deposit any tax or penalty
10 collected into the state school aid fund and shall distribute any
11 interest collected as provided in subsection (23). The
12 department of treasury shall annually provide the county
13 treasurer or his or her designee or the county equalization
14 director or his or her designee a list of parcels of property
15 located in that county for which an exemption may be erroneously
16 claimed. The county treasurer or his or her designee or the
17 county equalization director or his or her designee shall forward
18 copies of the list provided by the department of treasury to each
19 assessor in each local tax collecting unit in that county within
20 10 days of receiving the list.
21 (12) If a county elects to audit exemptions claimed under
22 this section as provided in subsection (10), the county treasurer
23 or the county equalization director may enter into an agreement
24 with the assessor of a local tax collecting unit in that county
25 regarding the implementation or administration of this section.
26 The agreement may specify that for a period of time, not to
27 exceed 120 days, the county will not deny an exemption identified
1 by the department of treasury in the list provided under
2 subsection (11).
3 (13) An owner may appeal a denial by the assessor of the
4 local tax collecting unit under subsection (6), a final decision
5 of the department of treasury under subsection (8), or a denial
6 by the county treasurer or his or her designee or the county
7 equalization director or his or her designee under subsection
8 (11) to the residential and small claims division of the Michigan
9 tax tribunal within 35 days of that decision. An owner is not
10 required to pay the amount of tax in dispute in order to appeal a
11 denial of a claim of exemption to the department of treasury or
12 to receive a final determination of the residential and small
13 claims division of the Michigan tax tribunal. However, interest
14 at the rate of 1.25% per month or fraction of a month and
15 penalties shall accrue and be computed from the date the taxes
16 were last payable without interest and penalty. If the
17 residential and small claims division of the Michigan tax
18 tribunal grants an owner's appeal of a denial and that owner has
19 paid the interest due as a result of a denial under subsection
20 (6), (8), or (11), the interest received after a distribution was
21 made under subsection (23) shall be refunded.
22 (14) For taxes levied after December 31, 2005, for each
23 county in which the county treasurer or the county equalization
24 director does not elect to audit the exemptions claimed under
25 this section as provided in subsection (10), the department of
26 treasury shall conduct an annual audit of exemptions claimed
27 under this section for the current calendar year.
1 (15) An affidavit filed by an owner for the exemption under
2 this section rescinds all previous exemptions filed by that owner
3 for any other property. The department of treasury shall notify
4 the assessor of the local tax collecting unit in which the
5 property for which a previous exemption was claimed is located
6 that the previous exemption is rescinded by the subsequent
7 affidavit. When an exemption is rescinded, the assessor of the
8 local tax collecting unit shall remove the exemption effective
9 December 31 of the year in which the affidavit was filed that
10 rescinded the exemption. For any year for which the rescinded
11 exemption has not been removed from the tax roll, the exemption
12 shall be denied as provided in this section. However, interest
13 and penalty shall not be imposed for a year for which a
14 rescission form has been timely filed under subsection (5).
15 (16) If the principal residence is part of a unit in a
16 multiple-unit dwelling or a dwelling unit in a multiple-purpose
17 structure, an owner shall claim an exemption for only that
18 portion of the total taxable value of the property used as the
19 principal residence of that owner in a manner prescribed by the
20 department of treasury. If a portion of a parcel for which the
21 owner claims an exemption
is used for a purpose other than as a
22 principal residence leased to another person as an auxiliary
23 dwelling unit, the owner shall
may claim an exemption for only
24 that portion of the
taxable value of the property used as the
25 principal residence of
that owner in a manner prescribed by the
26 department of treasury
the entire parcel.
27 (17) When a county register of deeds records a transfer of
1 ownership of a property, he or she shall notify the local tax
2 collecting unit in which the property is located of the
3 transfer.
4 (18) The department of treasury shall make available the
5 affidavit forms and the forms to rescind an exemption, which may
6 be on the same form, to all city and township assessors, county
7 equalization officers, county registers of deeds, and closing
8 agents. A person who prepares a closing statement for the sale
9 of property shall provide affidavit and rescission forms to the
10 buyer and seller at the closing and, if requested by the buyer or
11 seller after execution by the buyer or seller, shall file the
12 forms with the local tax collecting unit in which the property is
13 located. If a closing statement preparer fails to provide
14 exemption affidavit and rescission forms to the buyer and seller,
15 or fails to file the affidavit and rescission forms with the
16 local tax collecting unit if requested by the buyer or seller,
17 the buyer may appeal to the department of treasury within 30 days
18 of notice to the buyer that an exemption was not recorded. If
19 the department of treasury determines that the buyer qualifies
20 for the exemption, the department of treasury shall notify the
21 assessor of the local tax collecting unit that the exemption is
22 granted and the assessor of the local tax collecting unit or, if
23 the tax roll is in the possession of the county treasurer, the
24 county treasurer shall correct the tax roll to reflect the
25 exemption. This subsection does not create a cause of action at
26 law or in equity against a closing statement preparer who fails
27 to provide exemption affidavit and rescission forms to a buyer
1 and seller or who fails to file the affidavit and rescission
2 forms with the local tax collecting unit when requested to do so
3 by the buyer or seller.
4 (19) An owner who owned and occupied a principal residence on
5 May 1 for which the exemption was not on the tax roll may file an
6 appeal with the July board of review or December board of review
7 in the year for which the exemption was claimed or the
8 immediately succeeding 3 years. If an appeal of a claim for
9 exemption that was not on the tax roll is received not later than
10 5 days prior to the date of the December board of review, the
11 local tax collecting unit shall convene a December board of
12 review and consider the appeal pursuant to this section and
13 section 53b.
14 (20) If the assessor or treasurer of the local tax collecting
15 unit believes that the department of treasury erroneously denied
16 a claim for exemption, the assessor or treasurer may submit
17 written information supporting the owner's claim for exemption to
18 the department of treasury within 35 days of the owner's receipt
19 of the notice denying the claim for exemption. If, after
20 reviewing the information provided, the department of treasury
21 determines that the claim for exemption was erroneously denied,
22 the department of treasury shall grant the exemption and the tax
23 roll shall be amended to reflect the exemption.
24 (21) If granting the exemption under this section results in
25 an overpayment of the tax, a rebate, including any interest paid,
26 shall be made to the taxpayer by the local tax collecting unit if
27 the local tax collecting unit has possession of the tax roll or
1 by the county treasurer if the county has possession of the tax
2 roll within 30 days of the date the exemption is granted. The
3 rebate shall be without interest.
4 (22) If an exemption under this section is erroneously
5 granted for an affidavit filed before October 1, 2003, an owner
6 may request in writing that the department of treasury withdraw
7 the exemption. The request to withdraw the exemption shall be
8 received not later than November 1, 2003. If an owner requests
9 that an exemption be withdrawn, the department of treasury shall
10 issue an order notifying the local assessor that the exemption
11 issued under this section has been denied based on the owner's
12 request. If an exemption is withdrawn, the property that had
13 been subject to that exemption shall be immediately placed on the
14 tax roll by the local tax collecting unit if the local tax
15 collecting unit has possession of the tax roll or by the county
16 treasurer if the county has possession of the tax roll as though
17 the exemption had not been granted. A corrected tax bill shall
18 be issued for the tax year being adjusted by the local tax
19 collecting unit if the local tax collecting unit has possession
20 of the tax roll or by the county treasurer if the county has
21 possession of the tax roll. Unless a denial has been issued
22 prior to July 1, 2003, if an owner requests that an exemption
23 under this section be withdrawn and that owner pays the corrected
24 tax bill issued under this subsection within 30 days after the
25 corrected tax bill is issued, that owner is not liable for any
26 penalty or interest on the additional tax. An owner who pays a
27 corrected tax bill issued under this subsection more than 30 days
1 after the corrected tax bill is issued is liable for the
2 penalties and interest that would have accrued if the exemption
3 had not been granted from the date the taxes were originally
4 levied.
5 (23) Subject to subsection (24), interest at the rate of
6 1.25% per month or fraction of a month collected under subsection
7 (6), (8), or (11) shall be distributed as follows:
8 (a) If the assessor of the local tax collecting unit denies
9 the exemption under this section, as follows:
10 (i) To the local tax collecting unit, 70%.
11 (ii) To the department of treasury, 10%.
12 (iii) To the county in which the property is located, 20%.
13 (b) If the department of treasury denies the exemption under
14 this section, as follows:
15 (i) To the local tax collecting unit, 20%.
16 (ii) To the department of treasury, 70%.
17 (iii) To the county in which the property is located, 10%.
18 (c) If the county treasurer or his or her designee or the
19 county equalization director or his or her designee denies the
20 exemption under this section, as follows:
21 (i) To the local tax collecting unit, 20%.
22 (ii) To the department of treasury, 10%.
23 (iii) To the county in which the property is located, 70%.
24 (24) Interest distributed under subsection (23) is subject to
25 the following conditions:
26 (a) Interest distributed to a county shall be deposited into
27 a restricted fund to be used solely for the administration of
1 exemptions under this section. Money in that restricted fund
2 shall lapse to the county general fund on the December 31 in the
3 year 3 years after the first distribution of interest to the
4 county under subsection (23) and on each succeeding December 31
5 thereafter.
6 (b) Interest distributed to the department of treasury shall
7 be deposited into the principal residence property tax exemption
8 audit fund, which is created within the state treasury. The
9 state treasurer may receive money or other assets from any source
10 for deposit into the fund. The state treasurer shall direct the
11 investment of the fund. The state treasurer shall credit to the
12 fund interest and earnings from fund investments. Money in the
13 fund shall be considered a work project account and at the close
14 of the fiscal year shall remain in the fund and shall not lapse
15 to the general fund. Money from the fund shall be expended, upon
16 appropriation, only for the purpose of auditing exemption
17 affidavits.
18 (25) Interest distributed under subsection (23) is in
19 addition to and shall not affect the levy or collection of the
20 county property tax administration fee established under this
21 act.
22 (26) A cooperative housing corporation is entitled to a full
23 or partial exemption under this section for the tax year in which
24 the cooperative housing corporation files all of the following
25 with the local tax collecting unit in which the cooperative
26 housing corporation is located if filed on or before May 1:
27 (a) An affidavit form.
1 (b) A statement of the total number of units owned by the
2 cooperative housing corporation and occupied as the principal
3 residence of a tenant stockholder as of the date of the filing
4 under this subsection.
5 (c) A list that includes the name, address, and social
6 security number of each tenant stockholder of the cooperative
7 housing corporation occupying a unit in the cooperative housing
8 corporation as his or her principal residence as of the date of
9 the filing under this subsection.
10 (d) A statement of the total number of units of the
11 cooperative housing corporation on which an exemption under this
12 section was claimed and that were transferred in the tax year
13 immediately preceding the tax year in which the filing under this
14 section was made.
15 (27) Before May 1, 2004 and before May 1, 2005, the treasurer
16 of each county shall forward to the department of education a
17 statement of the taxable value of each school district and
18 fraction of a school district within the county for the preceding
19 4 calendar years. This requirement is in addition to the
20 requirement set forth in section 151 of the state school aid act
21 of 1979, 1979 PA 94, MCL 388.1751.