Perry council adopts poverty-exemption guidelines tied to federal poverty levels and $25,000 asset cap

The Perry City Council on Feb. 6 approved a resolution adopting poverty-exemption guidelines under Public Act 390 of 1994 (MCL 211.7u). The guidelines set eligibility requirements for property tax poverty exemptions, including residency and documentation rules, and specify the federal poverty income guidelines to be used in determinations.

The resolution requires applicants to own and occupy the homestead, file a claim with the Assessor or Board of Review accompanied by federal and state income-tax returns or a signed State Tax Commission Form 4988 affidavit, and report combined household assets. The resolution lists examples of assets (real estate other than the homestead, vehicles, CDs, bank accounts, retirement funds, life insurance) and states that assets up to a cumulative value of $25,000 are excluded from consideration; exceeding specified asset levels renders an applicant ineligible.

Council materials included the federal poverty-income amounts used for 2024 determinations: $15,060 for a one-person household, $20,440 for two, $25,820 for three, $31,200 for four, $36,580 for five, $41,960 for six, $47,340 for seven, and $52,720 for eight, with $5,380 added per additional person. The resolution also clarifies that applications must be filed after Jan. 1 and before the last day of the December Board of Review and that filing the claim preserves appeal rights to the Michigan Tax Tribunal.

The motion to adopt the guidelines was moved by Larry Lambert and seconded by Mindy Galbavi; the council voted in favor and the motion carried.