When did the exemptions for Qualified New Personal Property and Qualified Previously Existing Personal Property become effective?

The exemptions for Qualified New Personal Property and Qualified Previously Existing Personal Property became effective on December 31, 2015. This date marks a significant change in Michigan property tax law, aimed at encouraging business growth and investment by providing tax incentives for new and existing personal property.

Qualified New Personal Property refers to property that is acquired or leased for use in a business, enhancing the economy by fostering expansion. Simultaneously, Qualified Previously Existing Personal Property covers certain assets that have been in use but are afforded exemptions to attract and retain businesses. The legislation behind these exemptions is designed to stimulate economic activity and support local communities by minimizing the tax burden on businesses that meet specific criteria.

Knowing the effective date is crucial for property owners and tax assessors to understand how these exemptions can affect property tax calculations and the overall financial landscape of businesses operating in Michigan.