Chamber to Support Bill Clarifying Liability for Unpaid Business Property Taxes

May 15, 2017

Legislation supported by the Michigan Chamber will be considered by the House Tax Policy Committee this week to clarify instances where an individual or business can be assessed personal liability for unpaid property taxes or special assessments. 

House Bill 4285 clarifies that an individual, partnership, corporation, association, limited liability company or any other legal entity is NOT subject to personal liability for any unpaid property tax or special assessment--unless that person owned the property at the time the unpaid tax or special assessment became due. The bill with ensure that a purchaser of a property cannot be held personally liability for the unpaid property taxes of a previous owner if they received notification of clear title.  The bill was introduced because the City of Detroit has been going after the personal assets of property owners in the aforementioned scenarios. 

Please contact Dan Papineau at with questions.