Mich. Comp. Laws » Michigan Compiled Laws / Chapter 207 / Act 198 of 1974

Mich. Comp. Laws § 207.564

Industrial facility tax; amount of tax; determination; "industrial personal property" defined; termination or revocation; reduction.

Find cases: SyfertCases citing this section MI-LEGlegislature.mi.gov JustiaChapter on Justia CornellLII Search CasesGoogle Scholar

PLANT REHABILITATION AND INDUSTRIAL DEVELOPMENT DISTRICTS


Act 198 of 1974


207.564 Industrial facility tax; amount of tax; determination; "industrial personal property" defined; termination or revocation; reduction.

Sec. 14.

    (1) The amount of the industrial facility tax, in each year for a replacement facility, shall be determined by multiplying the total mills levied as ad valorem taxes for that year by all taxing units within which the facility is situated by the taxable value of the real and personal property of the obsolete industrial property for the tax year immediately preceding the effective date of the industrial facilities exemption certificate after deducting the taxable value of the land and of the inventory as specified in section 19.

    (2) The amount of the industrial facility tax, in each year for a new facility or a speculative building for which an industrial facilities exemption certificate became effective before January 1, 1994, shall be determined by multiplying the taxable value of the facility excluding the land and the inventory personal property by the sum of 1/2 of the total mills levied as ad valorem taxes for that year by all taxing units within which the facility is located other than mills levied for school operating purposes by a local school district within which the facility is located or mills levied under the state education tax act, 1993 PA 331, MCL 211.901 to 211.906, plus 1/2 of the number of mills levied for local school district operating purposes in 1993.

    (3) Except as provided in subsection (4), the amount of the industrial facility tax in each year for a new facility or a speculative building for which an industrial facilities exemption certificate becomes effective after December 31, 1993, shall be determined by multiplying the taxable value of the facility excluding the land and the inventory personal property by the sum of 1/2 of the total mills levied as ad valorem taxes for that year by all taxing units within which the facility is located other than mills levied under the state education tax act, 1993 PA 331, MCL 211.901 to 211.906, plus, subject to section 14a, the number of mills levied under the state education tax act, 1993 PA 331, MCL 211.901 to 211.906.

    (4) For taxes levied after December 31, 2007, for the personal property tax component of an industrial facilities exemption certificate for a new facility or a speculative building that is sited on real property classified as industrial real property under section 34c of the general property tax act, 1893 PA 206, MCL 211.34c, the amount of the industrial facility tax in each year for a new facility or a speculative building shall be determined by multiplying the taxable value of the facility excluding the land and the inventory personal property by the sum of 1/2 of the total mills levied as ad valorem taxes for that year by all taxing units within which the facility is located other than mills levied on industrial personal property under the state education tax act, 1993 PA 331, MCL 211.901 to 211.906, and the number of mills from which industrial personal property is exempt under section 1211(1) of the revised school code, 1976 PA 451, MCL 380.1211. For taxes levied after December 31, 2007, for the personal property tax component of an industrial facilities exemption certificate for a new facility or a speculative building that is sited on real property classified as commercial real property under section 34c of the general property tax act, 1893 PA 206, MCL 211.34c, the amount of the industrial facility tax in each year for a new facility or a speculative building shall be determined by multiplying the taxable value of the facility excluding the land and the inventory personal property by the sum of 1/2 of the total mills levied as ad valorem taxes for that year by all taxing units within which the facility is located other than the number of mills from which the property is exempt under section 1211(1) of the revised school code, 1976 PA 451, MCL 380.1211. As used in this subsection, "industrial personal property" means the following:

    (a) Except as otherwise provided in subdivision (b), personal property classified under section 34c of the general property tax act, 1893 PA 206, MCL 211.34c, as industrial personal property.

    (b) Beginning December 31, 2011, industrial personal property does not include a turbine powered by gas, steam, nuclear energy, coal, or oil the primary purpose of which is the generation of electricity for sale.

    (5) For a termination or revocation of only the real property component, or only the personal property component, of an industrial facilities exemption certificate as provided in this act, the valuation and the tax determined using that valuation shall be reduced proportionately to reflect the exclusion of the component with respect to which the termination or revocation has occurred.

History: 1974, Act 198, Imd. Eff. July 9, 1974 ;-- Am. 1982, Act 417, Imd. Eff. Dec. 28, 1982 ;-- Am. 1993, Act 334, Eff. Apr. 1, 1994 ;-- Am. 1994, Act 266, Eff. Imd. July 6, 1994 ;-- Am. 1996, Act 1, Imd. Eff. Jan. 30, 1996 ;-- Am. 2007, Act 39, Imd. Eff. July 12, 2007 ;-- Am. 2007, Act 146, Imd. Eff. Dec. 10, 2007 ;-- Am. 2008, Act 457, Imd. Eff. Jan. 9, 2009 ;-- Am. 2011, Act 319, Eff. Dec. 31, 2011

Compiler's Notes:

    Act 165 of 1989, purporting to amend MCL 207.561 and 207.564, could not take effect “unless amendment 2 of House Joint Resolution I of the 85th Legislature becomes a part of the state constitution of 1963 as provided in section 1 of article XII of the state constitution of 1963.” House Joint Resolution I was submitted to, and disapproved by, the people at the special election held on November 7, 1989.

PopularName Notes:

Act 198
Notes of Decisions
Cited in 8 cases (2 in the last 5 years), 1992–2024 · leading case: Great Lakes Div. v. City of Ecorse
Sort: Relevance Newest Treatment
Great Lakes Div. v. City of Ecorse (1998) michctapp · cites it 3× “§ 207.564(1); M.S.A. § 7.800(14)(1). [7] ] We note that the current assessed values for the No.”
Great Lakes Division of National Steel Corp. v. City of Ecorse (1998) michctapp · cites it 3× “[MCL 207.564(1); MSA 7.800(14)(1). 7 ] We note that the current assessed values for the No.”
Great Lakes Sales, Inc v. State Tax Commission (1992) michctapp “MCL 207.564(2); MSA 7.800(14)(2). A "new facility” is defined in § 2(4) of 1974 PA 198 , MCL 207.”
Orion Township v. State Tax Commission (1992) michctapp “See MCL 207.564; MSA 7.800(14). In this matter, gm agreed before the tax commission that the property that the tax commission ultimately determined constituted a "replacement facility” was intended to replace older property, previously located within the same facility, and…”
13400 Mount Elliott LLC v. State Tax Commission (2022) michctapp · cites it 11× “Mount Elliott filed a petition in the circuit court arguing that MCL 207.564(1) required the STC to use the property’s 2018 taxable value on the IFEC.”
Herman Brodsky Enterprises, Inc v. State Tax Commission (1994) michctapp “MCL 207.564(2); MSA 7.800(14)(2). In cases where the facility is leased, the lessee becomes eligible for the exemption after furnishing proof of its liability for the payment of ad valorem property taxes.”
Janey Grier v. State Tax Commission (2024) michctapp · cites it 5× “MCL 207.564(1), sets forth the manner for calculating an industrial facility tax: The amount of the industrial facility tax, in each year for a replacement facility, shall be determined by multiplying the total mills levied as ad valorem taxes for that year by all taxing units…”
Delta Business Center LLC v. Delta Charter Township (2019) michctapp “MCL 207.564(1); MCL 207.566. Delta is the owner of a 93,000-square-foot industrial park that it leases to tenants.”
— Mich. Comp. Laws § 207.564(1) — 5 cases
Great Lakes Div. v. City of Ecorse (1998) michctapp “§ 207.564(1); M.S.A. § 7.800(14)(1). [7] ] We note that the current assessed values for the No.”
Great Lakes Division of National Steel Corp. v. City of Ecorse (1998) michctapp “[MCL 207.564(1); MSA 7.800(14)(1). 7 ] We note that the current assessed values for the No.”
13400 Mount Elliott LLC v. State Tax Commission (2022) michctapp “Mount Elliott filed a petition in the circuit court arguing that MCL 207.564(1) required the STC to use the property’s 2018 taxable value on the IFEC.”
Janey Grier v. State Tax Commission (2024) michctapp “MCL 207.564(1), sets forth the manner for calculating an industrial facility tax: The amount of the industrial facility tax, in each year for a replacement facility, shall be determined by multiplying the total mills levied as ad valorem taxes for that year by all taxing units…”
Delta Business Center LLC v. Delta Charter Township (2019) michctapp “MCL 207.564(1); MCL 207.566. Delta is the owner of a 93,000-square-foot industrial park that it leases to tenants.”
— Mich. Comp. Laws § 207.564(2) — 2 cases
Great Lakes Sales, Inc v. State Tax Commission (1992) michctapp “MCL 207.564(2); MSA 7.800(14)(2). A "new facility” is defined in § 2(4) of 1974 PA 198 , MCL 207.”
Herman Brodsky Enterprises, Inc v. State Tax Commission (1994) michctapp “MCL 207.564(2); MSA 7.800(14)(2). In cases where the facility is leased, the lessee becomes eligible for the exemption after furnishing proof of its liability for the payment of ad valorem property taxes.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.