The mayor says the city currently is owed some $95 million in delinquent property taxes, with an additional $67 million owed to the Detroit public schools. The mayor submitted a resolution to council Monday to provide for the amnesty period.
"At this time when the city is facing financial problems, it is particularly important that all of our taxpayers pay their fair share of the cost of operating city government," he says. "If all the property taxes that are currently delinquent had been paid, we would not be acing the deficit situation we are now forced to deal with."
Under the amnesty program, delinquent taxpayers who pay their taxes during the month of April will have all penalties forgiven. Penalties are computed at the rate of 1% per month, up to a maximum of 25% of the taxes due.
Taxpayers will still be liable for interest payments, which are computed at the rate of .5% per month on the delinquent taxes. State law does not allow for a waiver of the interest on back taxes.
Taxes must be paid in full by the end of April to qualify for the amnesty program.
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