personal property tax

In this morning's Michigan news headlines. . .

Emily Fox — Fri, 21 Dec 2012 12:14:28 +0000

Michigan population increases for the first time in seven years

Michigan gained population in 2012 for the first time in seven years, the Detroit News reports.

'This halts a decade of population losses, but population is still growing far slower than other states. U.S. Census Bureau estimates released Thursday show the state grew at just 0.1 percent, adding 6,559 residents to 9,883,360.'

Snow dumps 14 inches in northern Michigan

"A snowstorm hitting the Midwest has dumped more than 10 inches of snow in northern Michigan and knocked out power to at least 60,000 state electricity customers. The weather service says snowfall totals could reach 13 inches in northern Michigan and 14 inches in northern lower Michigan before the storm exits Michigan Friday," the Associated Press reports.

Snyder signs personal property tax and mining legislation

"Governor Rick Snyder has signed a plan to phase out the state’s tax on business and industrial equipment. Manufacturers, in particular, say the tax discourages investment in Michigan. Snyder also approved an overhaul of how mining in Michigan is taxed. The new tax on mining production will replace a hodgepodge of taxes paid by mines," Rick Pluta reports.

'Concern' over the phase out of Michigan's Personal Property Tax

Steve Carmody — Fri, 21 Dec 2012 00:13:09 +0000

Flint’s Emergency Financial Manager says he’s ‘concerned’ about ending Michigan’s Personal Property tax.

Governor Snyder signed the phase out of the tax on business equipment today.

Flint relies on the tax for about 10% of its property tax revenues.

Ed Kurtz is Flint’s Emergency Financial Manager. He hopes the legislature will help cities replace the money they’ll lose.

Kurtz needs every dollar he can get to lift Flint from its multi-million dollar budget deficit.

Governor signs phaseout on business and industrial equipment tax

Rick Pluta — Thu, 20 Dec 2012 20:04:19 +0000

Governor Rick Snyder has signed a plan to phase out the state’s tax on business and industrial equipment.

Manufacturers, in particular, say the tax discourages investment in Michigan.

Charlie Pryde is a lobbyist for Ford.

“We believe the reform package the governor is signing today will make Michigan more competitive for manufacturing and Ford Motor Company more competitive in the intensely competitive automotive manufacturing marketplace,” Pryde said.

Lawmakers find compromise, pass repeal of personal property tax

Lindsey Smith — Fri, 14 Dec 2012 23:56:03 +0000

Legislation that will eliminate several hundred million dollars in taxes that businesses pay each year on equipment awaits Governor Rick Snyder’s signature. Michigan’s personal property tax applies to all kinds of things; car makers pay the tax on heavy machinery, restaurants pay it on new ovens and dishwashers.

The legislature voted early Friday morning to repeal the personal property tax and replace up to 80-percent of the lost revenue to local governments where the loss makes up more than 2.3-percent of the total tax revenue.

State Senate approves a plan to phase out tax on industrial and business equipment

Jake Neher — Fri, 14 Dec 2012 21:09:43 +0000

The state’s tax on industrial and business equipment is a step closer to being phased out. State lawmakers Thursday sent the measure to Governor Rick Snyder’s desk.

The personal property tax repeal was one of Governor Snyder and Republican state leaders’ top priorities for the lame duck session.

They say it discourages investment in the state and kills jobs.

Supporters of the plan say it will reimburse local communities for most or all of the revenue they would lose for services like schools, police, and fire.

Ari Adler is a spokesperson for state House Speaker Jase Bolger (R-Marshall).

“Many communities rely on the revenue that comes from this tax, and we did not want to leave them in a lurch,” Adler said.

Opponents like state Rep. Vicki Barnett (D-Farmington Hills) say the bills do not do enough to make up for those losses.

“It’s clear locals are going to lose money. Schools are going to lose money. The question is, just how much? And it could be anywhere from $250 million to – what I believe, when fully implemented – closer to $800 million, if there’s no replacement,” Barnett said.

Michigan voters will be asked to approve the reimbursement plan in August of 2014. If it’s rejected, the state will stop phasing out the tax.