In 2008, MAR played a substantial role in obtaining a decision from the Michigan Supreme Court that it was unconstitutional to tax developers on public service improvements to subdivisions, such as roads, street lights, sewer service, water service and sidewalks.
Unfortunately, until today, no developer has been able to have the public service improvements removed from the taxable value of their property in order to achieve the tax savings that should have resulted from the 2008 decision. No more. The Michigan Supreme Court has ruled in Toll Northville II that the tax tribunal has the jurisdiction to adjust past taxable values and remove the unconstitutional public service improvements from the taxable value of the property.
MAR was again substantially involved in obtaining this decision. It should help revive the home building industry in making lots and units more affordable.
The opinion is available for viewing at the link below: