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Michigan AARP supports ballot proposal to eliminate state personal property tax


LANSING (WKZO) -- On August fifth, voters in Michigan will get to decide on Proposal One, which would scrap the state's personal property tax, and at least one big name group is supporting it. Mark Hornbeck, with the Michigan AARP, says that the personal property tax is a tax that businesses pay on new equipment purchases. The money goes to local governments, but he says the AARP is calling for the repeal of the tax because, under Proposal One, the money that local communities would lose will still get paid to them by the state.

"On the one hand, the personal property tax reform benefits members and other older adults who own small businesses, including the increasing number of encore entrepreneurs in the state who are starting a business at 50 and older," Hornbeck told WKZO. "On the other side of the equation, the programs and services that are important to our one point four million Michigan members will remain protected."

The AARP estimates that getting rid of the personal property tax in Michigan would result in 15 thousand new jobs and 450 million in new investment