Property tax appeals on hold amid bankruptcy

DETROIT (AP) -- Appeals for hundreds of Detroit property owners fighting their 2013 tax bills are on hold because of the city's bankruptcy.

The Detroit News reports that Emergency Manager Kevyn Orr wants to pay taxpayers as the city normally would if they successfully appeal their property assessments to the state this year. To do that, however, the city needs the OK from U.S. Bankruptcy Judge Steven Rhodes.

The newspaper says the Michigan Tax Tribunal, which hears the appeals, must hold off hearings on Detroit cases at least through this week. The tribunal has received about 700 Detroit appeals and ruled only on about 36. And other Detroit creditors could challenge the payments to property owners.

Orr's office says income tax refunds aren't affected but are running behind.

Published: Mon, Jul 29, 2013