Capitol News

Michigan is considering changes to how property tax payments are processed with the introduction of House Bill 4799. The bill proposes to adopt the "Mailbox rule," making the postmark date the official date of payment for property taxes. This would align Michigan with the practice used for other state taxes and in most other states.

Currently, Michigan considers a property tax payment received only when it is physically removed from the mailbox and processed by a local government employee. This system has led to problems, especially as many local government offices have part-time hours or remote work policies. Delays in postal delivery have also contributed to an increase in late fees for taxpayers who believe they paid on time.

House Bill 4799 aims to address these issues by ensuring that taxpayers are protected from fees and interest as long as their property tax payments are mailed at least five days before the due date, regardless of when the local government processes them.

The Michigan Chamber of Commerce is supporting the bill and is working to move it forward in the legislative process. The Chamber says this effort is part of its broader goal to modernize Michigan’s tax system.