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1. When are my taxes due?

Summer property taxes are due in the Treasurer's Office by 4:30 pm on September 14. Winter property taxes are due in the Treasurer's Office by 4:30 on February 14. There is also a 24-hour drop-box located to the right of the Canton Center Road entrance to the Administration Building. However, drop-box payments received after business hours will be considered received the next business day. Tax payments made online by midnight on the due date are considered “on time.” Payments received after the due date will be posted as “late.”

2. Does Canton accept credit cards for tax payments?

Yes, credit and debit cards can be used at the Treasurer's Office counter and at our website. Convenience fees will apply to every transaction. Mastercard, VISA and Discover are accepted.

3. I need a copy of a paid receipt. Where can I get one?

We mail you a copy of your tax bill in July and December. Please file for future referral. * If you’re paying through the mail please enclose the ENTIRE bill with your payment along with a SELF ADDRESSED STAMPED ENVELOPE for a receipt. *If you’re paying in person, bring the ENTIRE BILL with you, and we will stamp and return the bottom of the bill to you. *If you pay your taxes through your mortgage escrow account, you may look up your tax information for FREE at: https://www.bsaonline.com/?uid=684

4. Who receives the funds from my tax bill?

The summer tax bill is remitted to the school districts and the county. Canton Township does not retain any of the funds from the summer collection. View an explanation of the different line items on your summer tax bill.

The winter tax bill is remitted to numerous taxing entities, such as Canton Township, RESA, The DIA, The Detroit Zoo, Wayne County Jail, etc. View an explanation of the different line items on your Winter Tax bill.

5. What do the terms "Assessed Value," "State Equalized Value" and "Taxable Value" mean on my Notice of Assessment?

A basic knowledge of these terms will help you better understand Michigan property tax law.

• Assessed Value - The assessed value helps determine market value. Set by the assessor, the assessed value when multiplied by 2 will give an approximate market value of the property. The assessor is constitutionally required to set the assessed value at 50% of the usual selling price or true cash value of the property.
  
• State Equalized Value (SEV) - SEV is the assessed value that has been adjusted following county and state equalization. The County Board of Commissioners and the Michigan State Tax Commission must review local assessments and adjust (equalize) them if they are above or below the constitutional 50% level of assessment.
  
• Taxable value - Multiplying the Taxable Value by the local millage rate will determine your tax liability. Taxable value increases from year to year by the rate of inflation or 5%, whichever is lower. Transfers of ownership and improvements to the property will increase the Taxable Value more than the rate of inflation.

6. How does the assessor determine my assessed value?

To insure properties are assessed uniformly and at 50% of market value, the assessor uses a one year sales study that is provided by the Wayne County Equalization Department. A sales study is an analysis of the sales price of the property compared to its SEV. The sales study for assessments runs one year from October 1 of the prior year through September 30 of the current year. The sales are then organized by economic neighborhoods by the assessor. An economic neighborhood can be a single subdivision or a grouping of subdivisions with similar characteristics. If the sales in a certain economic neighborhood indicate an increase or decrease then all of the properties in that economic neighborhood will be changed by what the sales have indicated. This insures all properties are assessed at 50% of market value as of December 31.

7. What determines the taxable value?

On March 15, 1994, Michigan voters approved the constitutional amendment known as Proposal A. The taxable value was created as a part of this legislation. Taxable value, or the figure which millage would be multiplied against, can only increase each year by the rate of inflation or 5%, whichever is lower. The taxable value on the property is said to be “Capped” if the property owner has not had any additions or losses on the property or did not purchase it in the preceding year. The legislators who wrote and put Proposal A on the ballot intended to put a cap on the value of the property so that taxpayers wouldn’t be as affected by a robust housing market and a significant increase in valuation. The intention was to tie the increase in valuation to the inflation rate so that it would be more affordable for and would benefit those residents who intended to remain at their properties for longer periods of time.

8. Property values in my neighborhood have been decreasing. Will my property valuation be decreasing as well?

Unfortunately, there isn’t a "yes" or "no" answer to that question. If you’ve owned your property for a significant amount of time, more than likely your state equalized value (SEV) far exceeds your taxable value. If this is the case, a decrease in valuation, caused by a cooling real estate market, will be reflected in the SEV. The taxable value is required by the Michigan Constitution to increase each year by the rate of inflation or 5%, whichever is lower. In the case of a longtime property owner, the SEV could decrease, while the taxable value will increase.

9. Does that mean I’ll pay more property taxes instead of less?

In the previous scenario, yes you would. The taxable value will rise by the inflationary increase (unless there is negative inflation, which has happened only once since 1994). This figure multiplied by the local unit's millage rate will determine your new property tax liability.

10. Why won’t my taxes decrease if my property value is going down?

Proposal A allowed many residents to pay property taxes on less than half of their market value by “capping” the taxable value, while still allowing the assessor to determine the market value by adjusting the SEV. This has caused, for many property owners, a great disparity between the SEV figure and the taxable value figure. The assessor can reduce the SEV to reflect the change in property value, but if the taxable value is still well below the SEV, it will keep increasing until the 2 figures meet. Taxes are based on taxable value; therefore, you will end up with a tax increase.

11. Will my taxes ever go down?

If a property’s value decreases each year, the SEV will eventually meet the taxable value. The taxable value cannot exceed the SEV. When this happens, decreases in SEV will cause decreases in taxable value, which will then lower your property tax liability. Due to the gap between the SEV and taxable value figures, it would take several years of depressed market conditions to make the SEV and taxable value equal. If you happen to be a property owner who purchased a property in the last few years and you have decreasing property value, the SEV and taxable value figures could meet sooner than someone who has owned the property for a long period of time.

12. What are some of the disadvantages about the Proposal A legislation?

Unfortunately, there have been a few downfalls. 2 big downfalls that we hear regularly are:

1. Neighbors paying completely different tax amounts
   
2. An uneasiness about moving to new properties because of the fear of a very high tax increase

13. What is a principal residence exemption?

If you own and occupy a home on your property before May 1 last year, you are entitled to a principal residence exemption. This will result in a credit on your summer tax statement. On the Assessment notice, the exemption will be illustrated by a 100.00% if you are eligible or a 0.00% if you are not. You are only entitled to one principal residence exemption in or out of Michigan.

14. Can I contest my assessed value and taxable value?

Every property owner has the right to appeal their assessments. However, the opportunity only comes once a year and if the opportunity is missed, there isn't another opportunity that year. Your assessment change notice will provide you with the dates and times for the March Board of Review. If you wish to contest your assessments, you must either appear or send your appeal to the March Board of Review. Protest at the March Board of Review is necessary to protect your right to further appeals to the Michigan Tax Tribunal for valuation and exemption appeals. In other words, the Michigan Tax Tribunal will not hear cases that have not first been before the local March Board of Review.

15. How can I estimate my taxes from the assessment change notice?

Please visit the treasurer’s home page to utilize the Estimated Property Tax Calculator. Simply fill in the tax period (summer, winter or total), your school district and your taxable value from your assessment change notice. Select calculate and get an estimate of your upcoming tax liability. If you recently purchased your home, use half the purchase price for your taxable value estimate.