LSCP Board Supports Proposal to Eliminate Personal Property Tax

Posted by on April 14, 2014

MARQUETTE – The Board of Directors of the Lake Superior Community Partnership (LSCP) has taken an official position in support of the State of Michigan’s ballot proposal to eliminate Personal Property Tax.  This will appear on the ballot on August 5.  If approved by voters, this proposal would:

  • Reduce the state use tax and replace with a local community stabilization share of the tax for the purpose of modernizing the tax system to help small businesses grow and create jobs in Michigan.
  • Require Local Community Stabilization Authority to provide revenue to local governments dedicated for local purposes, including police safety, fire protection, and ambulance emergency services.
  • Increase portion of state use tax dedicated for aid to local school districts.
  • Prohibit Authority from increasing taxes.
  • Prohibit total use tax rate from exceeding existing constitutional 6% limitation.

If the ballot question fails, all personal property relief will be repealed beginning in 2015.

“Our government relations task force and board of directors has been watching the legislative activity on personal property tax (PPT) for some time,” said Amy Clickner, LSCP CEO.  “As an economic development organization we see the value in eliminating the cumbersome tax and believe it will be especially positive for small business.  However, we were not willing to support the tax elimination if it meant a negative financial impact to our local municipalities which has been corrected in the passed legislation.  It now comes down to a vote of the public on August 5, and we urge you to support the proposal that will be before you.”

The LSCP joins a list of organizations statewide, including the Michigan Chamber of Commerce, Michigan Township Association, Michigan Municipal League, Michigan Association of Counties, Michigan Manufacturers Association, Business Leaders for Michigan, Small Business Association of Michigan and Northern Michigan Chamber Alliance, who are also in favor of this proposal.

 

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