How is the SEV determined?

The State Equalized Value (SEV) is a crucial aspect of property taxation in Michigan and is determined by equalizing property assessments across all properties within a taxing jurisdiction. This process ensures that all properties are being taxed fairly and uniformly, reflecting their market value while adhering to the state's requirement that property assessments be approximately equal to 50% of their true cash value.

Equalizing property assessments involves analyzing different properties in the jurisdiction to identify discrepancies and adjust assessments so that they are consistent. This method of evaluation accounts for variations in local market conditions and ensures that no specific property or area is favored or disadvantaged in terms of tax burden.

This systematic approach helps maintain equity in the property tax system, ensuring that every taxpayer contributes fairly based on the assessed value of their property. By focusing on equalization, the SEV promotes a standardized assessment process necessary for accurate and fair tax collection across diverse properties.