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As a pair of Upper Peninsula lawmakers push to ban “Dark Store” arguments, a fellow U.P. lawmaker wants to find out how much the loophole is costing local governments.
State Representative Scott Dianda is sponsoring a resolution asking the state to study the use of the “Dark Store” theory. Big stores are using it to get their property taxes lowered.
Instead of having their stores valued at what they are worth now, they’re asking the Michigan Tax Tribunal to value them as if they were empty – or dark – arguing the layout is unique and wouldn’t be worth much if the building was sold.
The punch in the gut for small communities is not losing out on future revenue but having to pay back hundreds of thousands of dollars in over-collected property taxes over the last few years.
State Representative John Kivela and Senator Tom Casperson say they’re introducing legislation soon to ban the “Dark Store” argument.
