Property tax: state education tax; state education tax; repeal. Repeals 1993 PA 331 (MCL 211.901 - 211.906).
Key claim: SB1039 proposes to repeal Michigan’s State Education Tax (1993 PA 331, MCL 211.901–211.906), which would eliminate a major property-tax-based funding mechanism for public education.
Abstract
(SB1039 · 103rd Legislature) Property tax: state education tax; state education tax; repeal. Repeals 1993 PA 331 (MCL 211.901 - 211.906). Latest action (2026-06-11): Referred To Committee On Government Operations
Why this matters
The State Education Tax is one of the largest single components of Michigan’s property tax bill and a core pillar of the post-Proposal A school funding formula, so a full repeal would be a structural fiscal change for every property owner and every K-12 district in the state. Because the bill as introduced repeals the tax without designating a replacement, the finding matters for taxpayers (potential property tax reduction), schools (potential revenue loss), and the state budget (School Aid Fund composition).