Supreme Court: Tax breaks OK for for-profit Michigan schools

This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

(Photo by Joe Raedle/Getty Images)

KENTWOOD, Mich. (AP) — Private schools that operate for a profit can qualify for certain tax exemptions under Michigan law.

The Michigan Supreme Court unanimously ruled in favor of the owner of Sanford-Brown College, a school that provided medical training in Kentwood, near Grand Rapids.

Kentwood and the state Tax Tribunal had denied a tax exemption for personal property, saying the school didn’t qualify because of its for-profit status. But the Michigan appeals court and the Supreme Court say that was the wrong interpretation of law.

In a 6-0 decision Monday, the Supreme Court said the law is clear: Institutions that are educational in nature can qualify for the tax exemption. Local governments around the state now fear a drop in tax revenue.

Sanford-Brown College is no longer open in Kentwood.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s