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1. How can I find out how much I paid in property tax last year?

Access that information here.

2. What is the lot size, square footage and year built on a property?

Access that information here.

3. When are tax bills mailed and when are they due?

Summer tax bills are mailed July 1 and due by August 31 without penalty. Beginning September 1, a 4 percent penalty plus .5 percent interest per month will be added.

Winter tax bills are mailed December 1, and due by February 14 without penalty. Beginning February 15, a 3 percent penalty will be added. Beginning March 1, all delinquent taxes must be paid at the Wayne County Treasurer with additional penalty.

4. How are property taxes calculated?

The formula is mileage rate times the taxable value, divided by 1,000.

5. What are assessed value, State Equalized Value, and taxable value? How is the SEV and taxable value calculated on my property?

Assessed Value- The assessed value is determined by a property's market value.  Set by the assessor, the assessed value when multiplied by two will give an approximate market value of the property.  The assessor is constitutionally required to set the assesses value at 50% of the usual selling price or true cash value of the property.

State Equalized Value (SEV)- SEV is the assessed value that has been adjusted following county and state equalization.  The County Board of Commissioners and the Michigan State Tax Commission must review local assessments and adjust (equalize) them if they are above or below the constitutional 50% level of assessment.

Taxable value- A property's taxable value is the value used for determining the property owner's tax liability.  Multiplying the taxable value by the local millage rate will determine your tax liability.  Taxable value increases from year to year by the rate of inflation or 5%, whichever is lower.  Transfers of ownership and improvements to the property will increase the taxable value more than the rate of inflation, but never more than the assessed value.

 

Michigan law requires each city to include both a SEV and taxable value on its Assessment Roll. The SEV represents 50 percent of true cash value. The taxable value is the amount that the owner will pay taxes on.

The SEV is calculated by sales studies of properties selling in Garden City 24 of the prior 36 months. The taxable value is increased annually by the Consumer Price Index or 5 percent, which ever is less until the property ownership is transferred, and then the taxable value is uncapped.

6. What is taxable values uncapping?

Under Proposal A, the year following the transfer of ownership, a property's taxable value is uncapped to equal the assessed value as calculated for that year. A new owner will pay taxes on this value rather than the previous owners capped value.

What is meant by “taxable value uncapping”?
Except for additions and losses to a property, annual increases in the property’s taxable value are limited to 5% or the inflation rate, whichever is less for continuous owners. In the year following a statutory transfer of ownership, that limitation is eliminated and the property’s taxable value is set at 50% of the property’s true cash value (i.e., the state equalized value). This is what is meant by “taxable value uncapping”. See Michigan Compiled Laws (MCL) 211.27a(3).

Note: A property’s true cash value is usually not the same as its sale price for a variety of reasons. An assessor must determine the true cash value of a property which has sold in the same manner that the assessor determines the true cash values of properties which have not sold. Therefore, an assessor may not automatically set an assessed value or a taxable value at half of a property’s selling price. See State Tax Commission Bulletin No. 19 of 1997 and State Tax Commission Memorandum dated October 25, 2005 that describes the illegal and unconstitutional practice of “following sales.”

How do I know if I “uncapped”?

What does this mean for you?
In the calendar year after you purchase your property, your taxes will no longer be based on the previous owner’s capped taxable value. The taxable value in your second calendar year of ownership will only increase by the rate of inflation or 5%, whichever is less, unless additions or losses to the property occur, because it is now capped.

Your taxable value may now be different than your neighbors. Their taxable value may have been capped many years before yours, so it would have no correlation with the current market and is not comparable. The Assessed Value is the factor to be used when comparing properties for current value in the market. 

7. Do I have to notify city if I buy property within the city?

Yes, Michigan law requires that a property transfer affidavit be filed within 45 days of the transfer of ownership even if you don’t record a deed. If the property is to be your primary residence, you can file for an exemption from the school operating tax.

If you do not file this affidavit within 45 days you will be charged a penalty of $5 per day, maximum of $200.

8. How do I appeal my assessed or taxable value?

You may appeal your assessment to the March Board of Review in March of each year. The assessment change notice, which is mailed in February each year, will indicate what dates and times the board will be hearing appeals. You must call the Tax Department to make an appointment for an appeal hearing.

9. What is the process for splitting my lot?

You must meet current ordinance for minimum lot size, unless the lot was plotted prior to 1967 and unchanged from original plot. The petition for the split must be completed and submitted with all required documents in triplicate. The process takes a minimum of 6 to 8 weeks.

The cost is $50 per existing and resulting parcel, plus attorney and recording fees. click here.

10. Can I pay my tax bill when City Hall is closed?

The city has a drop box located on the north side of City Hall that is available 24 hours a day, 7 days a week. The City also has a drop box located inside of City Hall that is available from 8:30 a.m. - 5 p.m., Monday - Friday.

Payments of checks or money orders may be placed in the drop boxes. All payments received will be picked up from the drop box the following business day. All applicable penalties will apply.