Personal Property changes for 2015. Follow the link to Bulletin 11 of 2013 which defines the changes to industrial and commercial personal property and explains the responsibilities of the taxpayer. To claim an exemption from paying personal property tax for property less than $80,000 TCV, file Form 5076 by February 10, 2014. Failure to file will result in loss of exemption.
Assessed Value represents 50% of your property’s “usual selling price” or market value, not necessarily the actual selling price. The transaction must be between a willing seller and a willing buyer. Foreclosure sales are usually not accepted for determining the level of assessment.
Taxable Value is what your taxes are based upon and is the lesser of the Assessed and Capped Values. Capped value is last year's taxable value times the increase in the CPI (Consumer Price Index).
If you add NEW, i.e. a pole barn, half the value of the pole barn is added to the assessed value and to the taxable value along with the CPI increase.
The taxable and assessed values are not linked to one another except that the taxable can not exceed the assessed value and the year following a transfer of property the capped value is uncapped to equal the assessed value, otherwise the two are separate numbers. Your assessed value may stay the same or decrease while the taxable value increases. Constitutional amendment Proposal A of 1995 set a restriction on the increase of taxable value, linked to the CPI, not necessarily linked to the assessed value.
Uncapping taxable value occurs the year after a property is “transferred” or sold. The “cap” on taxable value is removed and taxable value will be the same as the assessed value.
Property Tax is determined by your taxable value. Divide your taxable value by 1000 and then multiply it by your millage rate to determine your property tax.
Example: A taxable value of 100,000 times a millage of 32.1091 (a mill is a thousandth of a dollar) ($100,000 / 1000) X 32.1091 = $3210.91
Principal Residence Exemption (previously named the Homestead Exemption) lowers the millage rate by 18 mills. The PRE must be established by June 1 for summer tax and November 1 for winter tax. This is your residence which you own and occupy as documented by deeds, the voter registration roll, your drivers’ license and income tax returns. An affidavit must be on file at the township. Click here for the Principal Residence Exemption Form.
If you have any valuation questions, you may speak with the Township Assessor, Steve Hansen, on Tuesday's & Thursday's from 8:30 am - 12:00 pm. Call 772-6701 Ext. 104 and leave a message or e-mail Steve.Hansen@zeelandtwp.org.