A coalition of business organizations including the Michigan Manufacturers Association and the Michigan Chamber of Commerce have come together to form Michigan Citizens for Strong and Safe Communities, a group supporting a state-wide referendum at the August 2014 primary election to phase out Michigan’s Personal Property Tax.
Recall that the state Legislature in 2012 enacted a law to phase out the PPT, but that tax cut will be repealed without approval from state voters next fall. Last week, the MMA’s Chuck Hadden was in Traverse City as part of a state-wide information campaign to explain the pending changes to the PPT and to discuss how to present the message to voters about this important decision next August.
Hadden said the PPT puts Michigan at a disadvantage to other states in the region that collect lower personal property taxes, or don’t have them at all.
“Personal Property Tax huts people making an investment in their business,” Hadden said. “It makes Michigan a loser among other Great Lakes states.”
Negotiations are continuing among lawmakers in Lansing about ways to make up the lost revenue from phasing out the Personal Property Tax. For an executive summary from the coalition group of the potential changes, click here.
The Traverse City Area Chamber’s Government Relations Committee will be studying this issue over the next few months as the details of replacement revenue are hammered out by state lawmakers. The Chamber will keep you updated with additional information as warranted.