Individual income tax: property tax credit; homestead property tax credit; increase, and modify income threshold. Amends secs. 520 & 522 of 1967 PA 281 (MCL 206.520 & 206.522).
Key claim: Michigan HB5997 would increase the homestead property tax credit and raise or otherwise modify the income threshold used to determine credit eligibility under the individual income tax.
Abstract
(HB5997 · 103rd Legislature) Individual income tax: property tax credit; homestead property tax credit; increase, and modify income threshold. Amends secs. 520 & 522 of 1967 PA 281 (MCL 206.520 & 206.522). Sponsor: Rep. Tyrone Carter (D) + 2 co-sponsors In committee: H Government Operations Latest action (2026-05-21): Bill Electronically Reproduced 05/20/2026
Why this matters
The homestead property tax credit is one of Michigan’s largest household-facing tax expenditures, offsetting property taxes for lower- and middle-income homeowners and renters. Increasing the credit amount and adjusting the income threshold would expand eligibility and refund size for taxpayers while reducing individual income tax revenue to the state. The bill is currently at the introduced stage.