Looking for a Michigan Tax Forms And Templates? Download it for free!

General Information About the Homestead Property Tax Credit

NOTE: If you are required to file a Michigan Individual

for more information. If your income is over the limit for

Income Tax Return (MI-1040), file your credit claim with it.

MI-1040CR-2, you may qualify for a credit using MI-1040CR.

Taxpayers with total household resources over $50,000

A Homestead Property Tax Credit Claim for Veterans and

are not eligible for a credit in any category. The computed

Blind People (MI-1040CR-2) is included in this booklet.

credit (line 12) is reduced by 10 percent for every $1,000

If you qualify based on the information below, complete

(or part of $1,000) that total household resources exceeds

this form and the Homestead Property Tax Credit Claim

(MI-1040CR). File the form that gives you the larger credit.

$41,000. If filing a part-year return (for a deceased taxpayer

Farmers with a taxable value greater than $135,000 should

or a part-year resident), you must annualize your income to

calculate the credit using the MI-1040CR.

determine if the income limitation applies. See instructions

for annualizing on page 9.

The request for your Social Security number is authorized

under United States Code (USC) Section 42. Social

Property Tax Credit Limits

Security numbers are used by Treasury to conduct matches

If you own your home, your credit is based on the 2013

against benefit income provided by the Social Security

property taxes levied on your home, the taxable value of

Administration and other sources to verify the accuracy of

your homestead, and the allowance for your filing category.

the home heating credit and property tax credit claims filed

See Table 2 on page 10 for your allowance. If you do not

and to deter fraudulent filings.

know the taxable value of your homestead, contact your local

Who May Claim a Property Tax Credit

treasurer.

You may claim a property tax credit if all of the following

If you rent your home, your credit depends on how much

apply:

rent you pay, the allowance for your filing category, and the

millage rate on the rented property. The millage rate is the

• Your homestead is located in Michigan.

total millage levied by your city or township, county, and

• You were a Michigan resident at least six months of 2013.

school district. If you do not know the rate, contact your local

• You pay property taxes or rent on your Michigan

treasurer. Your credit cannot be more than $1,200.

homestead.

When to File

You can have only one homestead at a time, and you must be

If you do not have to file a 2013 Michigan Individual Income

the occupant as well as the owner or renter. Your homestead

Tax Return (MI-1040), you may file your credit claim as soon

can be a rented apartment or a mobile home on a lot in a

as you know your total household resources and property

mobile home park. A vacation home or income property is

taxes levied in 2013. If you are required to file a Michigan

not considered your homestead.

income tax return, your credit claim should be attached to

Your homestead is in your state of domicile. Domicile is

your tax return and filed by April 15, 2014, to be considered

the place where you have your permanent home. It is the

timely. The deadline for claiming a refund is April 17, 2018.

place to which you plan to return whenever you go away.

Delaying Payment of Your Property Taxes

College students and others whose permanent homes are not

in Michigan are not Michigan residents. Domicile continues

Senior citizens, disabled people, veterans, surviving spouses

until you establish a new permanent home. Property tax credit

of veterans, and farmers may be able to delay paying property

claims may not be submitted on behalf of minor children.

taxes. Contact your local or county treasurer for more

information about delaying payment of your property taxes.

Who May File the MI-1040CR-2

Total Household Resources

You may file MI-1040CR-2 if you are:

Total household resources are the total income (taxable and

• Blind and own your homestead.

nontaxable) of both spouses or of a single person maintaining

• A veteran with a service-connected disability or veteran’s

a household. They are AGI, excluding net business and farm

surviving spouse.

losses, net rent and royalty losses, and any carryover of a net

• A surviving spouse of a veteran deceased in service.

operating loss, plus all income exempt or excluded from AGI.

• Active military, pensioned veteran or his or her surviving

Total household resources include the following items not

spouse whose total household resources is $7,500 or less.

listed on the form:

• A surviving spouse of a nondisabled or nonpensioned

• Scholarship, stipend, grant, or GI bill benefits and

veteran of the Korean War, World War II, or World War I

payments made directly to an educational institution

whose total household resources is $7,500 or less.

• Capital gains on sales of your residence regardless of them

If you are blind and rent your homestead, claim your credit

being exempt from federal income tax

on MI-1040CR as a totally and permanently disabled person.

• Compensation for damages to character or for personal

See page 2 if you need the MI-1040CR.

injury or sickness

• An inheritance (except an inheritance from your spouse)

Total Household Resource Limits

• Proceeds of a life insurance policy paid on the death of the

Total household resources cannot be more than $7,500

insured (except benefits from a policy on your spouse)

for some military personnel.

See MI-1040CR-2, line 7,

• Death benefits paid by or on behalf of an employer

Form Mi-1040cr2 - Michigan Homestead Property Tax Credit Claim For Veterans And Blind People Instructions - 2013 Page 3

Related Articles

Related forms

Related Categories