POVERTY GUIDELINES CITATION
House Bill 5935
Sponsor: Rep. Nancy Cassis
Committee: Tax Policy
Complete to 5-13-02
A SUMMARY OF HOUSE BILL 5935 AS INTRODUCED 4-23-02
Under the General Property Tax Act a person can gain an exemption from property taxes, in full or in part, "by reason of poverty". One of the requirements a person must satisfy in order to be eligible for a poverty exemption from a local assessing unit is to "meet the federal poverty income standards as defined and determined annually by the United States Office of Management and Budget". House Bill 5935 would amend the act to refer instead to the "federal poverty guidelines updated annually in the federal register by the United States Department of Health and Human Services under . . . the Omnibus Budget Reconciliation Act of 1981".
The act currently also provides that the local assessing unit could have alternative guidelines provided they do not provide income eligibility requirements less than the federal guidelines. This provision would remain unchanged, as would other features of the poverty exemption. A person must apply annually for this exemption with the local supervisor or board of review.
MCL211.7u
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.