Personal Property Tax Exemptions
The General Property Tax Act provides for exemptions for certain categories of personal property including: Small Business Taxpayer Exemption, Eligible Manufacturing Personal Property and Act 328 – New Personal Property. These links will provide information on each of these exemptions including determining eligibility and how to claim the exemption. Email us if you have questions at PPTQuestions@michigan.gov.
Eligible Manufacturing Personal Property (EMPP) MCL 211.9m and MCL 211.9n Exemption
Beginning December 31, 2015, qualified new personal property and qualified previously existing personal property is exempt from taxation.
Qualified New Personal Property is defined as property that was initially placed in service in this state or outside of the state after December 31, 2012 or that was construction in progress on or after December 31, 2012 that had not been placed in service in this state or outside of this state before 2013 and is eligible manufacturing personal property (EMPP).
Qualified Previously Existing Personal Property means personal property that was first placed in service within this state or outside of this state more than 10 years before the current calendar year and is eligible manufacturing personal property (EMPP).
- Required Form - Affidavit and Statement for Eligible Manufacturing Personal Property and Essential Services Assessment (Form 5278)
- Form 5277 - Affidavit to Rescind Exemption of Eligible Manufacturing Personal Property Defined in MCL 211.9(m) and 211.9(n)
- Form 632 - 2017 Personal Property Statement (As of 12-31-16)
- Education Materials
Small Business Taxpayer Exemption – MCL 211.9o
The small business taxpayer personal property exemption provides a complete exemption from personal property tax for industrial or commercial personal property when the combined true cash value of all industrial personal property and commercial personal property owned by, leased by or in the possession of the owner or a related entity claiming the exemption is less than $80,000 in the local tax collecting unit and the property is not leased to or used by a person that previously owned the property or a person that, directly or indirectly controls, is controlled by, or under common control with the person that previously owned the property. Form 5076 must be filed annually with the local tax collecting unit no later than February 10.
- Assessor Guide to Small Business Taxpayer Exemption
- Form 5076 - Affidavit of Owner Eligible Personal Property Claiming Exemption from Collection of Taxes
- Form 5379 - Assessor Affidavit to Correct Taxable Value After Denial of Eligible Personal Property Exemption Granted pursuant to MCL 211.9o
- Assessor Denial of Request for Exemption as EPP (Small Business Taxpayer Exemption), as Defined in MCL 211.9o Sample Form
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