Request for a poverty tax exemption; MCL 211.7u; Deviation from the poverty income standards; MCL 211.7u(5); Principle that the Michigan Tax Tribunal (TT) lacks equitable powers; VanderWerp v Charter Twp of Plainfield; “Competent, material, & substantial evidence”; Social Security Disability (SSD) benefits

The court held that the TT did not err by denying petitioner’s request for a poverty exemption on the ground that her household income exceeded the limit established by respondent-city. Respondent’s Board of Review denied petitioner’s request for a poverty exemption from her 2022 property tax obligation. The TT affirmed. On appeal, the court rejected her argument that the TT’s decision was erroneous. The TT “found that two occupants resided in petitioner’s residence: petitioner and her adult son, [B]. Petitioner’s annual household income for the applicable tax year was $35,832, with $26,304 from [her SSD] income, and $9,528 from [B’s SSD] income. These findings were supported by petitioner’s [3/26/22] application for a poverty exemption, in which [she] attested that she received $2,192 monthly in [SSD] benefits, and by her testimony at the hearing before the” TT that B “received $794 monthly in [SSD] income. At the hearing, petitioner testified that she received $2,102 [in SSD] benefits each month, which is lower than the income amount stated on her application. However, even if her annual income was calculated using the $2,102 monthly income to which petitioner testified, petitioner’s annual income of $25,224 combined with [B’s] annual income of $9,528 exceeded the maximum income for a two-person household to receive a poverty exemption.” As such, the TT’s finding that her “annual income exceeded the maximum income for a two-person household to receive a whole or partial exemption from her 2022 property tax obligation was supported by competent, material, and substantial evidence.” In addition, it was “immaterial that petitioner submitted the requisite paperwork for the exemption and was granted the exemption in previous tax years, and that respondent failed to appear for hearings before the [TT]. Petitioner bore the burden of demonstrating by a preponderance of the evidence that she was entitled to a poverty exemption for her 2022 property taxes.” To be eligible, she had to show “that her household income did not exceed the eligibility guidelines set forth in” the relevant city ordinance. She “did not meet this burden because the evidence presented by petitioner demonstrated that her household income exceeded the maximum household income to be eligible for a poverty exemption.” Affirmed.