The folks who want to eliminate property taxes here in Michigan are trying it once again.
AxMITax is a ballot proposal for a Michigan Constitutional Amendment. It would prohibit most real estate and personal property taxes from being collected. It also calls for a portion of the state sales tax to be redirected to local governments for essential services like police and fire departments, and infrastructure projects.
The proposal’s wording and format was approved by the Michigan Board of State Canvassers on Dec. 2, according toWILX (see here). Karla Wagner, executive director of AxMITax, told Michigan News Source the renewed petition drive got underway on April 1st and will have 180 days to reach its goal of collecting 600,000 signatures. AxMITax will need the petitions signed and the signatures approved, in order to get the proposal on the 2026 ballot (see here)
The initiative failed to gather enough signatures last year to appear on the 2024 ballot.
AxMITax claims 184,000 Michigan Property Owners were faced with Tax Foreclosure in Michigan in 2023, according to its website.
“You’re paying for a lot of things that could be paid through consumption,” said Wagner. “If you want to go to the zoo, pay admission. If you want to go to a museum, pay admission. It shouldn’t be on your property tax bill. It should be a choice.”
You can read the full ballot language and their arguments for the constitutional amendment here.
The Citizens Research Council of Michigan reported that the state and local governments collected $18 billion dollars in property tax revenue during fiscal year 2021-22. This amendment would eliminate that revenue source.
Opponents of the constitutional amendment warn it will gut the budgets of local municipalities, parks, libraries, and schools.
Tony Minghine, Deputy Executive Director of external strategies for the Michigan Municipal League told the Detroit Free Press last year, “It would absolutely decimate local government as we know it.”
Opponents also warn local governments would lose autonomy, making them beholden to the whims of whomever is in Lansing doling out operating funds.
Michigan Community College Association President Brandy Johnson told the Detroit Free Press you can expect to see community colleges close in Michigan under the AxMITax proposal.
“There’s no way we could operate the college … taking out almost 45% of our revenue,” said Schoolcraft College President Glenn Cerny.
You can read more from opponents of the proposal in this Detroit Free Press article (here).
If this proposal passes, Michigan would be the first state ever to eliminate real estate and personal property taxes.
The KGOP has not officially taken a position on this amendment.