Regular meeting (Draft Poverty Exemption Resolution)

The Kasson Township Board, in accordance with Michigan law and Public Act 390 of 1994, has adopted a resolution for poverty exemption for the year 2024. This resolution outlines the guidelines and criteria that the Board of Review must follow when considering applications for property tax exemptions based on poverty. The primary objective is to provide relief to homeowners who are unable to contribute to public charges due to their financial situation, as per MCL 211.7u and Public Act 206 of 1893.

To qualify for the poverty exemption, applicants must annually own and occupy the homestead for which the exemption is requested, file a claim with the Board of Review within the specified timeframe, and submit necessary documentation including federal and state income tax returns for all household members. The eligibility criteria also include meeting the most recent Federal Poverty Guidelines, with specific limits on cash and non-cash assets. Cash assets must not exceed 10% of the Federal Poverty Guidelines for the household size, while non-cash assets are limited to $5,000, with certain exclusions such as the homestead property and personal vehicles.

If an applicant meets all the eligibility requirements, the Board of Review is mandated to grant a full exemption, resulting in a 100% reduction in the taxable value of the principal residence. The resolution also provides for an appeal process, allowing decisions of the March Board of Review to be appealed to the Michigan Tax Tribunal by July 31 of the same year, and decisions of the July or December Board of Review to be appealed within 35 days of the decision. This policy ensures that the Supervisor and Board of Review adhere to the established guidelines and federal standards when making decisions on poverty exemption applications.