Veteran and active duty service members may qualify for property tax exemptions in Michigan
As of November 12, 2013 some disabled veterans in Michigan may be eligible for an exemption from property taxes. The act known as the “Dannie Lee Barnes disabled veteran property tax relief act” amends 1893 Public Act 206 which provided an exemption for veterans if they received “pecuniary assistance due to disability for specially adapted housing.” This 2013 amendment, Public Act 161 which passed the day after Veterans Day, broadens this exemption to include:
- Veterans who are permanently and totally disabled as a result of military service and entitled to veterans’ benefits at the 100% rate, and
- Veterans who have been rated by the United States department of veterans affairs as “individually unemployable”
As in the original act, this exemption is also available to a surviving spouse for as long as he/she remains unmarried and is only available to the principal residence (homestead) of a veteran who is a Michigan resident.
Also, under existing Michigan laws, active duty military personnel can apply to have their principle residence qualify for the 100% Homestead Exemption status while on activity duty even if the property is rented or leased. Homes that do not qualify for the 100% Homestead exemption pay property taxes at a higher rate.
If you believe you or someone you know may be eligible for these exemptions you will need to file an affidavit with your local assessor. Refer to your property tax statement or bill for the contact information for your assessor. Each assessor may have different requirements for documents that must be filed to obtain the exemption and may require that these documents are filed each year. You must file between December 31 and the time of the “final adjournment of the local board of review,” which will vary by each taxing jurisdiction.
For more information, visit http://www.michigan.gov/taxes/0,1607,7-238-43535-235988–,00.html or contact your ShindelRock tax planning professional. And thank you for your service to our country veterans and active duty members!