HB-5364, As Passed House, January 24, 2006

HOUSE SUBSTITUTE FOR SENATE SUBSTITUTE FOR

HOUSE BILL NO. 5364

     A bill to amend 1893 PA 206, entitled

"The general property tax act,"

by amending section 53b (MCL 211.53b), as amended by 2003 PA 105.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 53b. (1) If there has been a  clerical  qualified error

or a mutual mistake of fact relative to the correct assessment

figures, the rate of taxation, or the mathematical computation

relating to the assessing of taxes, the  clerical  qualified error

or mutual mistake of fact shall be verified by the local assessing

officer and approved by the board of review at a meeting held for

the purposes of this section on Tuesday following the second Monday

in December and, for summer property taxes, on Tuesday following

the third Monday in July. If there is not a levy of summer property

taxes, the board of review may meet for the purposes of this

section on Tuesday following the third Monday in July. If approved,

the board of review shall file an affidavit within 30 days relative

to the  clerical  qualified error  or mutual mistake of fact with

the proper officials  who are involved with the assessment figures,

rate of taxation, or mathematical computation and all affected

official records shall be corrected. If the  clerical  qualified

error  or mutual mistake of fact results in an overpayment or

underpayment, the rebate, including any interest paid, shall be

made to the taxpayer or the taxpayer shall be notified and payment

made within 30 days of the notice. A rebate shall be without

interest. The  county treasurer in possession of the appropriate

tax roll may deduct the rebate from the appropriate tax collecting

unit's subsequent distribution of taxes. The  county treasurer in

possession of the appropriate tax roll shall bill to the

appropriate tax collecting unit the tax collecting unit's share of

taxes rebated. Except as otherwise provided in subsection (6) and

section 27a(4), a correction under this subsection may be made in

the year in which the qualified error was made or in the following

year only.

     (2) Action pursuant to this section may be initiated by the

taxpayer or the assessing officer.

     (3) The board of review meeting in July and December shall

meet only for the purpose described in subsection (1) and to hear

appeals provided for in sections 7u, 7cc, and 7ee. If an exemption

under section 7u is approved, the board of review shall file an

affidavit with the proper officials involved in the assessment and

collection of taxes and all affected official records shall be

corrected. If an appeal under section 7cc or 7ee results in a

determination that an overpayment has been made, the board of

review shall file an affidavit and a rebate shall be made at the

times and in the manner provided in subsection (1). Except as

otherwise provided in sections 7cc and 7ee, a correction under this

subsection shall be made for the year in which the appeal is made

only. If the board of review grants an exemption or provides a

rebate for property under section 7cc or 7ee as provided in this

subsection, the board of review shall require the owner to execute

the affidavit provided for in section 7cc or 7ee and shall forward

a copy of any section 7cc affidavits to the department of treasury.

     (4) If an exemption under section 7cc is granted by the board

of review under this section, the provisions of section  7cc(6)

through (11)  7cc apply. If an exemption under section 7cc is not

granted by the board of review under this section, the owner may

appeal that decision in writing to the department of treasury

within 35 days of the board of review's denial and the appeal shall

be conducted as provided in section  7cc(7)  7cc(8).

     (5) An owner or assessor may appeal a decision of the board of

review under this section regarding an exemption under section 7ee

to the residential and small claims division of the Michigan tax

tribunal. An owner is not required to pay the amount of tax in

dispute in order to receive a final determination of the

residential and small claims division of the Michigan tax tribunal.

However, interest and penalties, if any, shall accrue and be

computed based on interest and penalties that would have accrued

from the date the taxes were originally levied as if there had not

been an exemption.

     (6) A correction under this section that grants a  homestead

principal residence exemption pursuant to section  7cc(21)  7cc may

be made for the year in which the appeal was filed and the 3

immediately preceding tax years.

     (7) As used in this section, "qualified error" means 1 or more

of the following:

     (a) A clerical error relative to the correct assessment

figures, the rate of taxation, or the mathematical computation

relating to the assessing of taxes.

     (b) A mutual mistake of fact.

     (c) An adjustment under section 27a(4) or an exemption under

section 7hh(3)(b).

     (d) For board of review determinations in 2006 through 2009, 1

or more of the following:

     (i) An error of measurement or calculation of the physical

dimensions or components of the real property being assessed.

     (ii) An error of omission or inclusion of a part of the real

property being assessed.

     (iii) An error regarding the correct taxable status of the real

property being assessed.

     (iv) An error made by the taxpayer in preparing the statement

of assessable personal property under section 19.