What is the difference between assessed value and taxable value?
The State of Michigan requires that a property’s assessed value equal 50% of its true cash value (fair market value). A property’s taxable value is determined by taking the prior year’s taxable value minus any physical losses (ex. fire or demolition), multiplied by the current year’s inflation rate (CPI), plus any physical additions (ex. new construction).
How is my assessed value determined?
Values are based on recent sales in your neighborhood or in “like” neighborhoods if no sales have occurred. The Assessor’s Office uses mass appraisal techniques that include statistics and market trends to value property.
How are my property taxes calculated?
The taxable value times the millage rate is used to calculate your tax bill unless there are special assessments. (Taxable Value x Millage Rate ÷ 1,000 = Property Tax Bill + Special Assessments)
I feel my property is assessed too high. What can I do?
Change of Assessment notices are mailed in February with the new tentative assessed value. If you do not agree with this value there are instructions provided explaining how to appeal your assessment to the March Board of Review.
What is an uncapping?
Under Proposal A, a property is “uncapped” in the year following a transfer of ownership and the taxable value becomes equal to the assessed value. This can sometimes create a significant change in taxes for a new property owner in the first year of ownership. After the first year, the taxable value is again “capped” and subject only to increase by the inflation rate or 5%, whichever is less, unless there is an addition to the property or omitted property.
What is a Property Transfer Affidavit (PTA)?
A property transfer affidavit is a required form to be filed to the Assessing Department to notify the Assessor of a transfer in ownership. The PTA is required to be filed within 45 days of the transfer. A transfer of ownership can result in the uncapping of a property’s taxable value unless the type of transfer is exempt.
What is a Principle Residence Exemption?
The Principle Residence Exemption (PRE) was formerly called the Homestead Exemption. A PRE can exempt you from paying up to 18 mills of school operating tax on your principle residence. The deadline to receive the exemption is June 1st for the summer tax levy and November 1st for the winter tax levy.
Do I qualify for the Veteran's Exemption?
This law was passed in November of 2013 and provides for an exemption of real property taxes for a primary residence used and owned by a disabled veteran discharged under honorable conditions. It also provides for a spouse to benefit following the death of an eligible disabled veteran, provided the spouse remains unmarried. The Department of Veterans Affairs will provide the property owner of his/her legal designee with a “Certificate of Eligibility” which must be filed annually with the local assessor. Please see the State of Michigan’s Frequently Asked Questions for more information.
If I repair my house will my taxes increase?
Normal repairs and maintenance such as roof, windows, siding, and painting of your home will not increase the assessment. These improvements, if they increase the true cash value, will be added when the property sells.
If I build a new garage or deck how much will my taxes increase?
Assessments are based on the fair market value of the improvement to your home. The millage rate multiplied by 50% of the appraised value of your garage will give you an idea of the increase. (For example, $20,000 (garage value) x 50% = $10,000 x millage rate (.0351732) = $351.73 increase.
Someone from The Township already inspected my new garage. Why are you contacting me again?
Inspectors from the Building Department will visit your home to ensure your project meets code. Appraisers from the Assessing Department will visit your home to ensure your property record card is complete for valuation and taxing purposes.
What if I see Township personnel on my property taking pictures or measurements?
Staff will be performing statutory duties by gathering accurate information to update our assessing records. Staff are required to carry Delta Township employee identification.
I moved to a different home. Are there any forms I need to complete?
You must rescind the Principle Residence Exemption within 90 days of the date you no longer own the property. The State of Michigan only allows one exemption for your primary residence.
I purchased a new home but was unable to sell my previous home. Is there anything I can do about my taxes?
There is a three-year conditional rescission form available on the vacant house so long as it is not occupied, is currently for sale, is not leased and not used for any business or commercial purpose. This allows you to receive the exemption on the vacant home until it is sold. This exemption must be applied for annually by December 31.
How do I split or combine land?
Please see the Assessor’s Office to complete an application to combine parcels. If you wish to split your parcel please see the Planning Department to complete an application.
