Section 211.7u(1) of the Michigan General Property Tax Act defines the poverty or Hardship Exemption as a method to provide relief for those who, in the judgment of the Board of Review, are unable to fully contribute to the annual property tax burden of their principal residence due to the financial status.
A property owner can request a poverty or hardship exemption at the March, July or December Boards of Review. The exemption is based on household income and number of people who reside at the property in question. The income of all household residents should be reported when applying for the exemption. Applications for Poverty Exemption are available in the Assessor’s Office. The Board of Review uses the Federal Poverty Guidelines to determine how much of an exemption will be allowed. The guidelines are printed within each application.