Special Assessment Deferral Program





Variations in Receipt of Benefit

No Variation in Receipt of Benefits

Benefit Type



The benefit defers special assessments. The minimum deferral, exclusive of interest, is $300. Deferred taxes accrue interest at the rate of 1/2 percent per month (6 percent per year). Taxes are due one year from the date of the death of the last homeowner. Deferment of taxes through this program will result in a lien being placed against the property in the amount of the deferred taxes plus interest. Applications must be filed at least 30 days after the due date of a special assessment or installment of a special assessment for which deferment is requested.

How is Benefit Disbursed


Eligible Property Type


Characteristics of Eligible Property

Only residential property is eligible for this program.

Eligibility Criteria




Income Ceiling

Other Criteria

Description of Eligibility Criteria

The individual must be 65 years or older or be totally or permanently disabled, a citizen of the United States, a resident of Michigan for 5 or more years, and the sole owner of the homestead for 5 or more years. Income in 2018 cannot exceed $23,933. Income eligibility requirements are adjusted annually based on the Detroit Consumer Price Index.

Local Option in Adoption of Program

Local government is unable to exercise an option

Local Option Regarding Program Features

No local option regarding program features

State Funding for Local Tax Loss

State reimburses all of the local government tax loss

Description of State Funding for Tax Loss

The Department of the Treasury shall transmit to the collecting officer the sum of money required to indemnify the local special assessment district for a revenue loss resulting from the deferment of the special assessment.

Record ID



At the time of payment, a lien will be recorded against the property in favor of the State of Michigan. The lien will be subject to interest at one-half of 1% (.05) per month or fraction of a month (6% per year), when repaid to the State. The lien will be removed when the deferment, plus interest, is repaid by the taxpayer or the taxpayer's estate.


Mich. Comp. Laws § 211.761 ~ 211.770 (in effect for 2019)
Department of Treasury, Senior Citizen or Totally and Permanently Disabled Person's Affidavit Requesting Special Assessment Deferment, form 2748 (2019) [https://www.michigan.gov/documents/taxes/2748_DSA_Affidavit__Instructions_2017_555865_7.pdf Accessed 02/11/2019]
View Archived Source

Department of Treasury, Senior Citizen or Totally and Permanently Disabled Person's Affidavit Requesting Special Assessment Deferment [https://www.michigan.gov/documents/taxes/2748_DSA_Affidavit__Instructions_2017_555865_7.pdf Accessed 02/07/2019]
View Archived Source

Michigan Department of Treasury, Frequently Asked Questions (FAQs) About Deferred Special Assessments (August 2018) [http://www.michigan.gov/documents/treasury/DeferredSpecialAssessments_189257_7.pdf Accessed on 02/07/2019]
View Archived Source
Michigan Department of Treasury Property Tax Deferment Website 2018
[https://www.michigan.gov/taxes/0,4676,7-238-43535_55602---,00.html Accessed 12/20/2020] View Archived Source

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