What Qualifies as a Principal Residence?
This is no doubt one of the most frequently asked questions I am asked.
A "principal residence" is defined by section 7dd(c) of the Michigan General Property Tax Act,MCL 211.7dd(c), as follows:
"'Principal residence' means the 1 place where an owner of the property has his or her true, fixed, and permanent home to which, whenever absent, he or she intends to return and that shall continue as a principal residence until another principal residence is established."
How's that for a definition? Not very legalistic, is it? Your principle residence is the the one true home you return to whenever you are away. If you can establish that a home serves as your principle residence, then you may be entitled to a personal residence exemption which would exempt you from property taxes levied by a local school district for operating purposes.
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