The Michigan State Tax Commission has, by way of Bulletin 14 of 2011, issued notification of the 2012 inflation rate multiplier, to be used for calculating 2012 taxable values. The multiplier is 1.027, or a 2.7% increase.
Therefore, pursuant to Michigan statute enacting Proposal A of 1994, the 2012 taxable value for your property, absent a transfer of the property in 2011, will be equal to the lesser of:
(a) the 2012 State Equalized Value; or
(b) the 2011 Taxable Value, multiplied by 1.027.
For example, if your 2011 Taxable Value was $100,000, and your 2012 State Equalized Value is $105,000, your 2012 Taxable Value will be $102,700 ($100,000 multiplied by 1.027).
However, if your 2011 Taxable Value was 100,000, and your 2012 State Equalized Value is 100,000, your 2012 Taxable Value will be $100,000 (as your SEV is lower than $102,700).
If you have any questions about your 2012 taxable value calculation, or you believe your 2012 assessment is too high, please contact of the Demorest Law Firm.
