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Property Tax Information

The Village bills its taxes once a year in July. Taxes can be paid through August 31 without penalty or interest. In addition to Village taxes, residents receive a summer bill from Milford Township that can be paid through September 14 without penalty or interest. The Township mails a third tax bill in December that can be paid through February 14 without penalty or interest.
2022 Village Tax Rates:
General Operating 3.0509
Refuse Collection 1.8200
Road Improvements
In addition to the above tax rates, the Downtown Development Authority (DDA) levies 1.6418 mills for properties in their district.

Why do I get three tax bills?
The Village tax pays for Village-related services only. Examples of these services are weekly garbage collection, curbside recycling and composting, street lighting, maintenance of our seven parks, local street maintenance and snowplowing, major and local street improvements, storm sewer maintenance, and general administration of the Village government. The Township collects taxes for other taxing units such as Oakland County, Huron Valley Schools, and Oakland Community College, in addition to local taxes for Police, Fire, Library, and Township services.

Why are the due dates different for Village and Township summer taxes?
The Village’s due date is set by the village charter, which was revised in 1958. In 1983, the State of Michigan allowed townships and cities to collect a portion of the school taxes during the summer and set their due date as September 14.

What is Taxable Value?
Taxable value is approximately 50% of the true value of your property at the time you purchased it, adjusted annually at the rate of inflation or 5%, whichever is less. The dollar amount of taxes that you pay is based on the taxable value of your home.

What is the State Equalized Value (SEV)?
SEV is 50% of the cash value of a property. Cash value is defined as the usual selling price; the total consideration agreed to in an “arm’s length” transaction, not a forced sale. SEV changes each year based on the value of your property.
Why did the taxes go up when I bought my new home?
When ownership of a parcel of property is transferred, the parcel will be assessed at 50% of the current true cash value – the taxable value is now based on the value of the property at the time it is sold.

What is the difference in taxes on a principal residence and non-principal residence property?
A “homestead” is your principal residence – you own and live in the home. You pay a lower tax rate on your principal residence.  Non-homesteads (second homes, rentals, businesses, etc.) pay an additional $18 on each $1,000 of taxable value. For example: two houses in the Village have a taxable value of $50,000. The homestead pays about $2,000 in total property taxes, while the non-homestead pays about $2,900 each year.

Why do I have to file a “Property Transfer Affidavit”?
This form enables the county to keep yearly sales information up-to-date. The affidavit must be filed whenever a property changes ownership as this affects the taxable value of the property. Failure to file this form can result in penalties of $5 per day, up to a maximum of $200; filing is mandatory.

Why do I have to file a “Principal Residence Exemption Affidavit”?
If you own and live in a home, the Principal Residence Affidavit exempts you from paying eighteen additional mills (dollars) for each thousand dollars of the home’s taxable value. In other words, your taxes will be much higher if you do not file this form. 

Why am I being taxed at non-principal residence rates?
If you just purchased the home, the former owner may not have filed for an exemption. The deadline to file for the exemption is June 1 of each year. If you purchased your home after June 1, you will receive the reduced tax rate the following year, as long as you file the homestead exemption form when you buy the property. If you owned and occupied the house as your primary residence prior to June 1, please contact Milford Township at (248) 685-8731 to have your status corrected.