Sec. 8c.
(1) Daily rental property shall be assessed to the owner at the location of the rental business and is not assessable at its location on tax day as provided in section 2 if all of the following conditions are satisfied:
(a) The location of the rental business is in this state and the daily rental property is located in this state on tax day as provided in section 2.
(b) The daily rental property is permanently labeled with the name of the owner and either the business address or current telephone number of the owner with an indication that the property is daily rental property. The owner shall also affix a unique identifying number to the daily rental property. If the daily rental property consists of multiple small items that are part of a matched set or if it is impractical to label the daily rental property, the required statement and identifying number may be placed on the daily rental property's container used to store the daily rental property when not in use.
(c) Not later than February 20 of each year, the owner provides the assessor of the city or township where the rental business is located an itemized listing of the owner's daily rental property, as of tax day. The listing shall describe the daily rental property by manufacturer, make, and model.
(d) Not later than February 20 of each tax year, the owner shall give the assessor of the city or township where the rental business is located written authorization to provide a copy of information provided pursuant to subdivision (c) to the assessor of any other city or township in which the daily rental property may have been physically located on tax day.
(e) If the owner of daily rental property is required to provide a written statement pursuant to section 18 to any local tax collecting unit other than the local tax collecting unit in which the daily rental property is assessable, the written statement shall include a written statement indicating the jurisdiction in which its daily rental property is being reported.
(2) The owner's reporting of daily rental property is subject to audit by any of the following:
(a) Any assessment jurisdiction in which the daily rental property is located on tax day.
(b) The local tax collecting unit where the rental business is located.
(c) The county equalization department of a county in which the daily rental property is located on tax day or where the rental business is located.
(d) The state tax commission.
(3) The owner's tangible personal property that is not assessable as provided in subsection (1) is assessable as provided in section 2.
(4) As used in this section:
(a) "Daily rental property" means tangible personal property that is exclusively offered on an hourly, daily, weekly, or monthly basis for a rental term of 6 months or less pursuant to a written agreement and had an acquisition cost when new of $10,000.00 or less, including freight and sales tax. In determining whether a rental term extends beyond 6 months, the rental term shall be computed by adding all permitted or required extensions of the rental term set forth in the written agreement for the daily rental property. Daily rental property does not include tangible personal property rented in conjunction with a service contract that extends beyond 90 days.
(b) "Location of the rental business" or "where the rental business is located" means the local tax collecting unit in which the daily rental property is kept when it is not rented to a customer.
(c) "Owner" means the individual, partnership, corporation, association, or other legal entity that owns daily rental property.
History: Add. 1998, Act 537, Imd. Eff. Jan. 19, 1999
Popular Name: Act 206