Property tax: assessments; inapplicability of pop-up to taxable value resulting from interspousal transfers of ownership interests in legal entities; clarify. Amends sec. 27a of 1893 PA 206 (MCL 211.27a).

Michigan Senate Bill 819 (SB0819) proposes an amendment to Section 27a of the General Property Tax Act (1893 PA 206) to clarify that the 'pop-up' tax increase does not apply when ownership interests in legal entities holding property are transferred between spouses. This means that if one spouse transfers their interest in a property-holding entity to the other spouse, the property's taxable value would not be reassessed at its current market value, thereby preventing a potential increase in property taxes.

MI SB0819 is a senate bill in the Michigan 103rd Legislature, sponsored by Rosemary Bayer (D), currently “Introduced” since March 4, 2026.

We track 4,230 Michigan bills this session, 55 of them sponsored by Rosemary Bayer.

Supporters of SB0819 argue that the bill promotes fairness by ensuring that interspousal transfers of property interests do not result in unexpected tax increases. They contend that such transfers are common in estate planning and should not trigger higher property taxes, thereby providing financial stability for families.

Critics of SB0819 express concern that the bill could create a loophole allowing property owners to avoid tax increases by transferring ownership interests between spouses. They argue that this could lead to a reduction in property tax revenues, potentially impacting funding for local services and infrastructure.