Michigan Retailers Association: Court Decision Shows No Need to Change Property Appeals Process

LANSING, MI--(Marketwired - May 27, 2016) - Michigan Retailers Association today issued the following statement regarding a decision by a three-judge Michigan Court of Appeals panel in the case of Menard v. City of Escanaba:

First and foremost, the decision is not a victory for anyone. The panel has simply sent the case back to the Michigan Tax Tribunal to gather additional evidence. Nobody knows what the final outcome will be.

Second, this is one and only one case. Previous appellate decisions have upheld Tax Tribunal rulings that local governments over-assessed business properties and were collecting more taxes than they should.

Third, this latest Court of Appeals ruling shows that current law is working and there is no need for the types of legislative changes advocated by local governments. Current law provides an unbiased appeals process. As MRA has previously pointed out, House Bill 5578 would increase the cost and length of commercial property tax appeals to the point of making it prohibitive for businesses to challenge their local assessments.

HB 5578 is nothing more than a backhanded attempt to discourage taxpayers from appealing their property assessments. It is a deeply flawed bill that would turn the appeals process on its head and drive up taxes.