Did You Know?
Assessing Department – Did You Know?
The Assessing Department is responsible for the inventory of all property within Pennfield Township and the valuation of all of its taxable property. We maintain records of current ownership, assessed and taxable values, property characteristics, and market data. This office follows the requirements of the General Property Tax Law of the State of Michigan.
Assessors must be certified by the State Assessors Board (SAB) in Lansing. The SAB certifies individuals at Level 1, 2, 3, or 4 based on education, experience, and examination. Level 4 is the highest rating. Municipalities are required to have an assessor whose certification is at least equivalent to the SAB’s standard based on the total valuation and complexity of the unit of government.
- Annual changes of assessment are based on sales in the neighborhood.
- Your taxable value can never exceed your assessed value.
- Principal Residence Exemptions that are in effect on January 1 each year stay in effect for the calendar year.
- The May 1 filing deadline for Principal Residence Exemptions applies to new applications only. You do not need to reapply each year.
- The assessor is not permitted by State Law to set your new assessment at one-half of your purchase price.
- It is your responsibility as a taxpayer to review your property record card periodically to be sure you agree with all the information that is currently of record.
- Feel free to come in or call (269) 968-8549 if you have any questions about your property. The assessing system is quite complex, and we are always willing to help our taxpayers understand how the system works.
The Homeowner’s Principal Residence Exemption
The Homeowner’s Principal Residence Exemption is a product of the property tax reforms put in place by the legislature in 1994, generally known as Proposal A. The Principal Residence Exemption excuses the residential owner-occupied property from 18 mills of the total millage levied as property tax. The purpose is to relieve taxpayers of a portion of the burden of funding public schools. Eligibility is for primary residences only. Second homes, cottages, and rental properties are not eligible and must pay the full millage — as do all commercial and industrial properties.
When you purchase a home (either new construction or existing home), you must claim the exemption in order to receive it. When you sell your home or change its use, you must rescind the exemption.
- HOMEOWNER’S PRINCIPAL RESIDENCE EXEMPTION AFFIDAVIT (Form 2368) is the form used to claim an exemption for your primary residence. To be eligible you must own and occupy the home. If you are claiming an exemption for a property that was not exempt for the previous tax year, the filing deadline is May 1. Exemptions in effect on January 1 stay in effect for the calendar year.
- REQUEST TO RESCIND/WITHDRAW HOMEOWNER’S PRINCIPAL RESIDENCE EXEMPTION (Form 2602) is the form to use if you have sold your home or have changed its use (converted it to rental property, commercial use, or you have moved out but the property is not yet sold.) Recissions become effective January 1 following the change of use of the property.
- FARMLAND EXEMPTION (Form 2599) is to be used if the property is used primarily for agricultural purposes but is not classified as agricultural. If your home is located on this property, and you have already filed a Principal Residence Exemption, it is not necessary to file this form.
If you fail to file a Principal Residence Exemption when your property is eligible, you will pay too much tax. If you fail to rescind the exemption when the property no longer qualifies, you could be billed for additional taxes, penalty and interest by the state, county or local treasurer.
Title companies generally make these forms available to buyers and sellers at the closing. The title company usually handles mailing the forms to the assessor as well. However, it is in your best interest to be certain that the assessor receives these forms! All of the above-mentioned forms are also available in the assessor’s office, or by clicking on the links above, or they can be downloaded from the State of Michigan’s website.