HB-5364, As Passed House, December 7, 2005
SUBSTITUTE FOR
HOUSE BILL NO. 5364
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending sections 53a and 53b (MCL 211.53a and 211.53b), section
53b as amended by 2003 PA 105, and by adding section 27e.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 27e. If the assessor and the owner of property liable to
taxation, including property subject to taxation under 1974 PA 198,
MCL 207.551 to 207.572, 1905 PA 282, MCL 207.1 to 207.21, 1953 PA
189, MCL 211.181 to 211.182, and the commercial redevelopment act,
1978 PA 255, MCL 207.651 to 207.668, agree that the property has
been incorrectly assessed for the current assessment year and 1
year immediately preceding the date of discovery and disclosure to
the assessor of the incorrect assessment, the assessor shall
prepare and execute an affidavit, which shall also be signed by the
owner of the property, verifying the mutual mistake of fact to the
July or December board of review.
Sec. 53a. Any taxpayer who is assessed and pays taxes in
excess of the correct and lawful amount due because of a clerical
error, or
mutual mistake of fact made by the assessing officer
and the taxpayer, or an error made by the taxpayer in preparing the
statement of assessable personal property under section 19 may
recover
the excess so paid, without interest, if suit is
commenced within 3 years from the date of payment, notwithstanding
that the payment was not made under protest.
Sec.
53b. (1) If there has been a clerical error, or a
mutual mistake of fact, or error relative to the correct assessment
figures, the rate of taxation, or the mathematical computation
relating
to the assessing of taxes, the clerical error, or mutual
mistake of fact, or error 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 error, or mutual mistake of fact, or error 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 an affidavit is submitted
to the board of review under section 27e, the board of review shall
approve
the correction of the error. If the
clerical error, or
mutual mistake of fact, or error 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), a
correction under this subsection may be made in the year in which
the 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) 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
exemption pursuant to section 7cc(21) may be made for the year in
which the appeal was filed and the 3 immediately preceding tax
years.