Connecting with our faith-based community! Today dozens of church and religious leaders attended the Assessor’s Faith-based Community Summit at Northwest Activities Center where officials shared important information about the process of applying for a nonprofit tax-exemption in Detroit.
Five important facts to remember about nonprofit tax exemption:
1. Property Exemption is Not Automatic: A federal 501(c)(3) status does not automatically grant a property tax exemption in Michigan; organizations must specifically apply for and meet the state's criteria for a local property tax exemption. 2. Specific Use Required: The property must be owned, occupied, and used solely for the non-profit's exempt purposes (e.g., charitable, educational, religious, or scientific) as of December 31st of the year preceding the tax year in question. 3. Application Process is Mandatory: Non-profits must file an application for exempt status with the local assessor's office. Applications are available online at—www.detroitmi.gov on the Assessor’s Office homepage. For consideration for the current tax year, a completed application and required documents must be received by the close of the March Board of Review. 4. Charging a Fee is Allowed: A non-profit can charge for its services without losing its exemption, provided the charges are not more than what is needed for its successful maintenance, and the overall nature of the institution is charitable. 5. “Charitable" Has a Legal Definition: To qualify as a "charitable institution," the organization must meet specific legal guidelines.
Couldn’t make it to the Summit and you have questions? Connect with our Assessor’s office at asktheassessor@detroitmi.gov or call (313) 224-3040
City of Detroit
Connecting with our faith-based community! Today dozens of church and religious leaders attended the Assessor’s Faith-based Community Summit at Northwest Activities Center where officials shared important information about the process of applying for a nonprofit tax-exemption in Detroit.
Five important facts to remember about nonprofit tax exemption:
1. Property Exemption is Not Automatic: A federal 501(c)(3) status does not automatically grant a property tax exemption in Michigan; organizations must specifically apply for and meet the state's criteria for a local property tax exemption.
2. Specific Use Required: The property must be owned, occupied, and used solely for the non-profit's exempt purposes (e.g., charitable, educational, religious, or scientific) as of December 31st of the year preceding the tax year in question.
3. Application Process is Mandatory: Non-profits must file an application for exempt status with the local assessor's office. Applications are available online at—www.detroitmi.gov on the Assessor’s Office homepage. For consideration for the current tax year, a completed application and required documents must be received by the close of the March Board of Review.
4. Charging a Fee is Allowed: A non-profit can charge for its services without losing its exemption, provided the charges are not more than what is needed for its successful maintenance, and the overall nature of the institution is charitable.
5. “Charitable" Has a Legal Definition: To qualify as a "charitable institution," the organization must meet specific legal guidelines.
Couldn’t make it to the Summit and you have questions? Connect with our Assessor’s office at asktheassessor@detroitmi.gov or call (313) 224-3040
1 week ago (edited) | [YT] | 50